Skip to content
770-587-4595
Action required New York Department of Financial Services NY Jun 23, 2026

New York DFS proposes permanent risk-based capital treatment for certain fixed-income ETFs

Published in the June 10, 2026 New York State Register, DFS proposed a Risk-Based Capital rule affecting insurer treatment of certain exchange-traded funds composed of fixed-income securities, cash, and cash equivalents. The proposal would remove the January 1, 2027 sunset date and make the treatment permanent if the ETF meets the rule's criteria.

Published in the June 10, 2026 New York State Register, DFS proposed a Risk-Based Capital rule affecting insurer treatment of certain exchange-traded funds composed of fixed-income securities, cash, and cash equivalents. The proposal would remove the January 1, 2027 sunset date and make the treatment permanent if the ETF meets the rule's criteria.

What changed

DFS proposed eliminating the scheduled 2027 sunset date for a specific RBC treatment applicable to qualifying fixed-income ETF holdings.

Compliance perspective

Insurers and affected investment teams should review portfolio classifications and RBC assumptions tied to fixed-income ETF holdings. Comment opportunities remain open through the standard 60-day period noted in the State Register.

Key date

Effective date: June 10, 2026.

Need help keeping up with these changes?

Tell us where you operate and what licenses you hold; we'll handle the filings and renewals so changes like this do not catch you off guard.

Keep reading

More regulatory updates

Other recent rule changes our team is tracking.

  • Action New York DFS NY Aug 1, 2026

    New York DFS circular letter on motor vehicle insurance reforms

    DFS issued a circular letter on July 1, 2026 directing insurers to reflect motor vehicle insurance statutory changes in pending rate filings. The letter set a clear filing deadline of August 31, 2026.

    Read explainer
  • Action New York Department of Financial Services NY Jul 29, 2026

    Auto insurance fraud training tied to FY 2027 reform rollout

    On July 22, 2026, DFS announced specialized training for nearly 270 law-enforcement officials from 55 agencies on combating auto insurance fraud. DFS described the effort as part of implementing FY 2027 budget reforms and connected it to July 1, 2026 insurer guidance on reflecting anticipated savings in rate filings.

    Read explainer
  • Action New York Department of Financial Services NY Jul 29, 2026

    Workers' compensation insurance rate reduction approved

    On July 15, 2026, New York DFS approved an average 22 percent reduction in workers' compensation insurance premium rates. DFS said the change would take effect October 1, 2026 and is expected to save businesses more than $1 billion.

    Read explainer