Department Submits Proposed Producer Compensation Transparency Regulation

NEW YORK, NY (09/10/2009)(readMedia)-- The New York Insurance Department today announced it is proposing a new Producer Compensation Transparency Regulation and has sent it to the Governor's Office of Regulatory Reform (GORR) for review. The proposed regulation would require insurance producers to notify insurance consumers of their right to request information on compensation provided to producers by insurers for the sale or service of insurance.

The proposed regulation the result of extensive outreach to interested parties, including representatives of the insurance industry and consumer groups, beginning with public hearings in July 2008. After approval by GORR, the proposed regulation will be published in the New York Register, followed by a 45-day formal public comment period. After reviewing any comments received, the Department may adopt, revise or withdraw the proposed regulation. The text of the proposed regulation is attached.

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