P&CNew Yorkmedium
An out-of-state risk retention group, not licensed in New York, mails insurance solicitations to NY residents and collects premiums from NY policyholders. Under NY Insurance Law § 1101(b), which conclusion is correct?
ANo NY authorization is required because the entity has no NY office
BNY § 1101(b) applies only to entities physically domiciled in NY
Soliciting NY residents and collecting NY premiums constitutes 'doing an insurance business' in NY and requires authorization or qualifying exemption
DFederal RRG status fully preempts NY's § 1101(b) for all purposes including premium collection
Why this is the answer
§ 1101(b) lists acts that constitute 'doing an insurance business' in NY — including making insurance contracts, soliciting, and collecting premiums — and applies whether the act is done in person or 'by mail from outside this state or otherwise.' Out-of-state entities targeting NY residents trigger § 1101(b) and must either obtain a Certificate of Authority under § 1102 or qualify under a specific exemption (such as a federally chartered RRG that follows the LRRA's notice/disclosure rules and is registered with DFS for liability lines only).
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