New York S 5305: Relates to the formation of mutual holding companies by certain domestic mutual property/casualty insurers and the reorganization in connection therewith of a domestic mutual property/casualty insurer

Bill Text

Bill Search and Legislative Information | New York State Assembly 

• 

• 

• 

• 

• 

• 

• 

• 

 Skip to main content 

 New York State Assembly

 Speaker Carl E. Heastie

 --> 
 --> 

 --> 

• 
 Assembly Members 

• 
 Legislative Info 

• 
 Public Hearings 

• 
 Speaker's Press 

• 
 Assembly Reports 

• 
 Committees & More 

• Bill Search Home
• Laws
• Legislative Calendar
• Public Hearing Schedule
• Assembly Calendars
• Assembly Committee Agenda 

 Javascript must be enabled to properly view this page. 

 Bill No.: 

• Summary 
• Actions 
• Committee&nbspVotes 
• Floor&nbspVotes 
• Memo 
• Text 
• LFIN 
• Chamber&nbspVideo/Transcript 
S05305 Summary:

BILL NOS05305 

&nbsp

SAME ASSAME AS A03710

&nbsp

SPONSORBAILEY

&nbsp

COSPNSR

&nbsp

MLTSPNSR

&nbsp

Add Art 81 §§8101 - 8120, Ins L

&nbsp

Provides for the formation of mutual holding companies by certain domestic mutual property/casualty insurers and the reorganization in connection therewith of a domestic mutual property/casualty insurer into a domestic stock property/casualty insurer.

Go to top S05305 Actions:

BILL NOS05305 

&nbsp

02/20/2025REFERRED TO INSURANCE

01/07/2026REFERRED TO INSURANCE

Go to topS05305 Committee&nbspVotes:

Go to topS05305 Floor&nbspVotes:

There are no Assembly votes for this bill in this legislative session.

Go to topS05305 Text:

 STATE OF NEW YORK
 ________________________________________________________________________

 5305

 2025-2026 Regular Sessions

 IN SENATE

 February 20, 2025
 ___________

 Introduced by Sen. BAILEY -- read twice and ordered printed, and when
 printed to be committed to the Committee on Insurance

 AN ACT to amend the insurance law, in relation to the formation of mutu-
 al holding companies by certain domestic mutual property/casualty
 insurers and the reorganization in connection therewith of a domestic
 mutual property/casualty insurer into a domestic stock
 property/casualty insurer

 The People of the State of New York, represented in Senate and Assem-
 bly, do enact as follows:

 1 Section 1. The insurance law is amended by adding a new article 81 to
 2 read as follows:
 3 ARTICLE 81
 4 MUTUAL HOLDING COMPANY; PROPERTY/CASUALTY INSURER
 5 Section 8101. Definitions.
 6 8102. Reorganization of mutual property/casualty insurer through
 7 formation of a mutual holding company; contents of plan.
 8 8103. Dividend practices.
 9 8104. Adoption of plan; submission of plan to the superinten-
 10 dent.
 11 8105. Amendment or withdrawal of plan.
 12 8106. Consultants.
 13 8107. Approval of plan by superintendent; hearing.
 14 8108. Approval of plan by eligible members.
 15 8109. Filing of plan; effective date of reorganization.
 16 8110. Effect of reorganization.
 17 8111. Corporate existence.
 18 8112. Directors and officers.
 19 8113. Notice of proposed reorganization.
 20 8114. Failure to give notice.
 21 8115. Limitations of actions; security.

 EXPLANATION--Matter in italics (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD07789-01-5

 S. 5305 2

 1 8116. Prohibited transactions by officers, directors and employ-
 2 ees.
 3 8117. Requirements applicable to a mutual holding company.
 4 8118. Other requirements applicable to an intermediate stock
 5 holding company and a mutual holding company.
 6 8119. Conversion of mutual holding company.
 7 8120. Transfers of subsidiaries.
 8 § 8101. Definitions. As used in this article, the following terms
 9 shall have the following meanings:
 10 (a) "Adoption date" means the date the board of directors of the mutu-
 11 al property/casualty insurer adopts the plan of reorganization.
 12 (b) "Beneficial ownership" with respect to any security, means the
 13 sole or shared power to vote or direct the voting of, such security
 14 and/or the sole or shared power to dispose or direct the disposition of
 15 such security.
 16 (c) "Effective date" means, in the case of the reorganization of a
 17 mutual property/casualty insurer, the date upon which the reorganization
 18 of the mutual property/casualty insurer shall be effective in accordance
 19 with section eight thousand one hundred nine of this article as a result
 20 of reorganization proceedings pursuant to this article.
 21 (d) "Eligible member" with reference to a mutual property/casualty
 22 insurer, means a person who, by the records of the mutual
 23 property/casualty insurer, is deemed to be the "policyholder" of a poli-
 24 cy or contract which is of a type of any one or more of the basic kinds
 25 of insurance specified in subsection (a) of section four thousand one
 26 hundred one of this chapter for purposes of section four thousand one
 27 hundred sixteen of this chapter as of the adoption date. A person
 28 insured under a group policy is not an eligible member. A person whose
 29 policy becomes effective one calendar day after the board of directors
 30 adopts the plan of conversion but before the effective date of the plan
 31 of conversion is