- 598
Just out of curiosity, what is it about the laws of New York that makes many, if not all, companies which do business nationally have a separate "New York" company and another for all of the other states?
Tim
Tim
What's With New York?
- Thread starter ExProgrammer
- Start date
- 11,995
One part in particular that makes it unattractive, ignoring the excessive regulations, is that there are requirements that companies be domiciled in NY itself. For example AIL is NILICO in NY.
- 2,960
Didn't Hank Jr. say something about New York one time.
- 2,758
That's the same answer I got when I asked awhile back. I don't think politics has much to do with it.
- 11,995
There are some politics with it, but the entire country just got the treatment NY has had with health insurance for a long time. An agent I used to work with was making 4% on group health and had agents under him he was giving 2% and 3% contracts too. They have required benefits, guaranteed issue, etc. The premium for a healthy family of four was easily over $1k and there wasn't any money to be made on it from the three or four carriers offering coverage. When the ACA rolled out I'm sure NY health agents literally laughed about the MLR being of so little impact to them.
There are some nuances about things, but most of it boils down to their requirements from the insurance carriers in terms of being domiciled and reserves and such. NY isn't exactly a thriving market anyway so if you can spend the same amount of time and resources to launch a product in 40 states instead of three, why bother with NY?
- 16,877
I've always felt that New York should just become it's own country all the people who think the government should be bigger could just move there. Then the other 49 states could thrive. We could also toss California in with New York and just have 48 good ones.
- 179
forgetaboutit......
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