NYDFS CONTINUES ENFORCEMENT ACTIONS FOR UNLICENSED ACTIVITY — $3.5 MILLION PENALTY AGAINST BANNER LIFE INSURANCE COMPANY

NYDFS continues its actions against insurance companies for allegations of unlicensed activity occurring in New York.  NYDFS leveled a $3.5 million penalty against Banner Life Insurance Company for unlicensed conduct relating to the pension risk transfer (PRT) business, where companies that carry pension obligations sell them to insurance companies to meet into the future.

According to NYDFS: “An investigation … discovered that Banner Life solicited and did insurance business in New York without a license. Today’s action continues an industry-wide investigation by the Department, which has collectively brought $63.5 million in penalties through four investigations for unlicensed insurance business in the PRT industry.”

The consent order may be found here:  https://www.dfs.ny.gov/reports_and_publications/press_releases/pr202207281

 

Leave a Comment