Officials in a state known for strict life insurance and annuity marketing regulations say they are trying to loosen up while continuing to protect consumers.
The New York State Insurance Department has proposed an amendment to state Regulation 34-A that could encourage life insurers to run “joint advertisements.”
Many life insurers have responded to the distinctive nature of New York insurance regulation by setting up special subsidiaries or affiliates to handle sales in that state.
In New York, joint advertisements are ads that promote the policies of insurance companies authorized to operate in New York along with the policies of those companies’ parent companies or sister companies, state insurance department officials write in a regulatory impact statement.
Today, New York prohibits joint ads. The proposed amendment would allow joint ads.
The proposal “provides life insurers with increased flexibility in advertising while applying appropriate standards governing such advertisements to protect New York consumers,” officials write in the regulatory impact statement.