As previously reported on InsureReinsure, the State of New York merged its the Insurance and Banking Departments into a new, single agency known as the Department of Financial Services (“DFS”), with new and heightened oversight responsibilities over the financial services industry as a whole.  At the helm of the DFS is the Superintendent of Financial Services, Benjamin M. Lawsky.  The DFS is divided into five primary divisions responsible for regulating specific segments of the financial services industry: the Insurance Division, Banking Division, Financial Frauds and Consumer Protection Division, the Real Estate Finance Division, and the Capital Markets Division.

The DFS began operation on October 3, 2011, and according to recent industry reports, formally concluded its merger earlier this year.  The merger is a step towards preventing a reoccurrence of the circumstances which led to the recent financial crisis.

We will continue to monitor this topic.