ALBANY, N.Y. March 31 – Domestic insurers will no longer have to file forms relating to life and heath insurance policies sold outside New York State under legislation passed by the New York State Senate.

The bill, introduced by Senator James L. Seward (R/C/I Chenango) repeals sections 3201 (b) (2) (c) (6) and (7) of the Insurance Lawand renumbers subsequent paragraphs.

Seward said that New York-based life and health insurance companies have been disadvantagedby provisions of the law which require that every form of policy sold by these companies outside New York State must be filed with, and may subsequently be disapprovedby, the New York State Insurance Department. These provisions were enacted many years ago so that the domestic insuranceregulator could monitor what types of policies their insurerswere issuing in other states to ensure that a policy was not being marketed that might jeopardize the solvency of such company, Seward said.

Since that time New York and most other stateshave enacted various other solvency measurement and oversight lawswhich arewidely held to be much better indicators of the financial health of the insurer.Significantly, most, if not all,of these policy forms already have been reviewed and approvedfor sale by the Insurance Regulator in the various other states in which they are being marketed.

Their being filed and reviewed by the New York Insurance Department is both redundant and unnecessary, Seward declared.It is an anachronistic, administrative burden for the life and health insurers that have their home offices in New Yorkand has long outlived its initial purpose.

Assemblyman AlexanderB. Grannis (D/L New York) has introduced similarmeasure in the State Assembly where it is currently in the Insurance Committee.