New York Codes, Rules and Regulations
Title 11 - INSURANCE
Chapter IV - Financial Condition Of Insurer and Reports to Superintendent
Subchapter A - Rules of General Application
Part 83 - Financial Statement Filings and Accounting Practices and Procedures
Section 83.2 - Background

Universal Citation: 11 NY Comp Codes Rules and Regs ยง 83.2

Current through Register Vol. 46, No. 39, September 25, 2024

(a) Certain provisions of the Insurance Law and this Title provide that authorized insurers, accredited reinsurers, and authorized fraternal benefit societies shall file financial statements annually and quarterly with the superintendent. Authorized insurers and authorized fraternal benefit societies pursuant to Insurance Law sections 307 and 308, and accredited reinsurers pursuant to Insurance Law section 107 and section 125.4 of Part 125 of this Title, are required to file what are known as annual and quarterly statement blanks on forms prescribed by the superintendent (financial statements). Except in regard to filings made by underwriters at Lloyd's, London, the superintendent has prescribed for use the forms and annual and quarterly statement instructions (instructions) that are adopted from time to time by the National Association of Insurance Commissioners (NAIC), as supplemented by additional New York forms and instructions.

(b) Section 4408 (5) of the Public Health Law and section 98-1.16(a), (b), and (f) of Title 10 NYCRR provide that Public Health Law article 44 health maintenance organizations and integrated delivery systems shall file financial statements annually and quarterly with both the Commissioner of Health and the superintendent. The commissioner has prescribed for use the forms and instructions that are adopted from time to time by the NAIC, as supplemented by additional New York forms and instructions.

(c) To assist in the completion of the financial statements, the NAIC also adopts and publishes from time to time certain policy, procedure, and instruction manuals. The latest of these manuals, the Accounting Practices and Procedures Manual as of March 20231 (accounting manual), includes a body of accounting guidelines referred to as statements of statutory accounting principles (SSAPs). The accounting manual shall be used in the preparation of quarterly statements and the annual statement for 2023, which will be filed in 2024.

(d) Section 1109 (e) of the Insurance Law authorizes the superintendent to promulgate regulations in effectuating the purposes and provisions of the Insurance Law and article 44 of the Public Health Law regarding health maintenance organizations, and section 4301(e)(5) authorizes the superintendent to modify any regulatory requirement in order to encourage the development of health maintenance organizations in this State. Subdivision (7) of section 4408-a of the Public Health Law (integrated delivery systems) authorizes the superintendent, jointly with the Commissioner of Health, to establish standards governing the fiscal solvency of integrated delivery systems.

(e) Section 4403-c (12) of the Public Health Law requires the filing of financial reports by comprehensive HIV special needs plans. The Commissioner of Health has determined, as authorized by Public Health Law, section 4403-a(3), that prepaid health service plans shall file financial reports. Although annual and quarterly statements of comprehensive HIV special needs plans and prepaid health service plans are not to be filed with the superintendent, the commissioner has determined that annual and quarterly statements of comprehensive HIV special needs plans and prepaid health service plans should follow accounting procedures that are consistent with those utilized by other organizations holding certificates of authority in accordance with Public Health Law, article 44.

(f) In accordance with these sections, this Part sets forth certain accounting rules applicable to Public Health Law, article 44 health maintenance organizations, integrated delivery systems, prepaid health services plans and comprehensive HIV special needs plans. This Part does not apply to managed long-term programs licensed pursuant to section 4403-f of the Public Health Law.

(g)

(1) A codification manual was initially adopted by the NAIC in March of 1998 with an effective date of January 1, 2001. Since its adoption by the NAIC in 1998, the manual has been subject to a prescribed and deliberate maintenance process at the NAIC. As a result of such maintenance process, the anticipated procedure is that the NAIC will publish an updated manual in March of each year.

(2) The Accounting Manual that is referred to in subdivision (c) of this section and adopted by the superintendent in accordance with the provisions of section 83.3(c) of this Part, subject to the "conflicts and exceptions" provisions of section 83.4 of this Part, is the most recent published edition of the manual.

(3) In the time between the annual publication of these manuals, in order to provide the most current information on SSAPs that are presently under consideration at the NAIC, the NAIC has placed certain accounting pronouncements on its web site until the next manual is published. Access to the accounting pronouncements is available at the NAIC's web site at www.naic.org.

(4) It is the superintendent's intention to update this Part each year in order to adopt the newly published accounting manual, subject to such exceptions (as set forth in section 83.4 of this Part) as may be appropriate because of New York law or policy. If it becomes necessary for the superintendent to apprise the public and the insurance industry of new information regarding accounting practices prior to the next updating of this Part, the superintendent may issue circular letters to provide advice and instruction, or the superintendent may amend this Part as appropriate.

Footnotes

* ACCOUNTING PRACTICES AND PROCEDURES MANUAL AS OF MARCH 2017. © Copyright 1999 2017 by National Association of Insurance Commissioners, in Kansas City, Missouri.

Disclaimer: These regulations may not be the most recent version. New York may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.