11 CRR-NY 12.2NY-CRR
11 CRR-NY 12.2
11 CRR-NY 12.2
12.2 Maximum training allowance subsidies.
Insurance Law section 4228(e)(3)(G) provides that the superintendent shall periodically adjust the cumulative maximum training allowance subsidy limits to agents set forth in sections 4228(e)(3)(C) through (E) for agents with respect to the types of policies specified in Insurance Law section 4228(a). Accordingly, the amounts as specified in section 4228(e)(3)(C) through (E) are adjusted as follows:
(a) Subparagraph (e)(3)(C): an agent may receive a training allowance subsidy, provided:
(1) the agent has earned less than $30,000 from the sale of policies and contracts cumulatively during the three years prior to such agent's appointment; or
(2) less than 25 percent of the agent's earned income has been received from the sale of policies and contracts during each of the three years prior to appointment.
(b) Subparagraph (e)(3)(D): an agent may not receive a training allowance subsidy, on a cumulative basis:
(1) for an agent in the first year of the subsidies, the greater of $43,000 and 60 percent of the first year commission limit;
(2) for an agent in the second year of the subsidies, the greater of $67,000 and 60 percent of the first year commission limit in the first year and 40 percent of the first year commission limit in the second year;
(3) for an agent in the third year of such subsidies, the greater of $82,000 and 60 percent of the first year commission limit in the first year and 40 percent of the first year commission limit in the second year, and 20 percent of the first year commission limit for the third year; and
(4) for an agent in the fourth year of such subsidies, the greater of $90,000 and 60 percent of the first year commission limit in the first year and 40 percent of the first year commission limit in the second year, 20 percent of the first year commission limit in the third year, and 10 percent of the first year commission limit in the fourth year.
(c) Subparagraph (e)(3)(E): If the agent has earned at least $99,000 of income during either of the two calendar years immediately preceding commencement of receipt of training allowance subsidies, a company may pay additional training allowance subsidies of $1,500 to the agent during each of the first two years of this agent's receipt of training allowance subsidies for every $3,000 of the earned income in excess of $99,000, provided that the cumulative training allowance subsidy does not exceed $68,000 in the agent's first year of receipt of a training allowance subsidy and provided further that the agent receives not greater than $90,000 in total training allowance subsidies.
11 CRR-NY 12.2
Current through July 31, 2021
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IMPORTANT NOTE REGARDING CONTENT CURRENCY: JULY 31, 2023, is the date of the most recently produced official NYCRR supplement covering this rule section. For later updates to this section, if any, please: consult editions of the NYS Register published after this date; or contact the NYS Department of State Division of Admisnistrative Rules at [email protected]. See Help for additional information on the currency of this unofficial version of the NYS Rules.