Market Shear

New York lost another 191,367 residents to other states during the year ending last July 1, and its population declined for the first time in a decade, according to the U.S. Census Bureau’s annual population estimates.

The latest estimated annual “net domestic migration” loss—equivalent to nearly the entire population of Yonkers, New York’s fourth-largest city—is the Empire State’s largest since 2007. It brings New York’s total outflow over the last six years to 846,669 people—more than any other state’s, both in absolute terms and as a share of population as measured by the 2010 census. As of July 1, New York’s estimated population of 19,745,289 was down 1,894 people from a year earlier. While the decrease was slight—just 0.01 percent—2015-16 marks the first year since 2005-06 in which New York State’s estimated population dropped by any amount. New York also was a national leader in two categories: foreign immigration, which added 118,748 residents, and “natural increase” (births minus deaths), which added 75,794 people. Only California and Florida attracted more foreign immigrants, and only California and Texas had higher natural gains. The new data put New York further behind Florida, which moved ahead into third place in total state population rankings two years ago. While New York’s population dipped, Florida gained another 367,525 residents in 2015-16. Texas led all states with a gain of 432,957 residents in that period. Ranked by percentage growth, Utah, Nevada, Idaho and Florida topped the list.… …NYSAIFA got a sign-off on a new regulation that provides a critical increase in how much a life insurance agent can earn and receive during training. The higher training rates allowed by the Department of Financial Services (DFS) with the new 11 NYCRR 12 (Insurance Regulation 50) go into effect on Wednesday, January 25, 2017. These are the first increases in a long time. The DFS amendments to Regulation 50 increase the maximum subsidy limits by approximately fifteen (15) percent.  NAIFA-NYS highlighted the subsidy issue last year during face-to-face meetings with the Life Insurance Bureau, encouraging them to re-evaluate the existing regulation.   It worked. In its memo in support, NAIFA-NYS noted that “In order to maintain the highest standards of ethics and professionalism, it is vital that our members are in a position to recruit people of significant ability and the highest ethical standards.”   With compensation rates rising in other sectors of the financial services industry, the NAIFA-NYS letter noted, “We believe the amendments will help our members and, indeed, all life insurance producers in New York, to offer better services to their clients, and to compete with other sectors of the financial services industry.”   The amendments to Insurance Regulation 50 are available on the DFS web site, www.dfs.ny.gov.  Further details are available at www.naifanys.org; Larry Holzberg is the Chairman and gets the kudos for quarterbacking this.… …The International Insurance Society has formed the Global Centers of Insurance Excellence (GCIE), a certification program designed to recognize universities and colleges with outstanding Risk Management and Insurance programs and enhance their connections with the insurance industry. The program will recognize universities that play an integral role in promoting insurance knowledge and research, increasing the intellectual capital of the industry. “As an important part of our commitment to the advancement of the industry, befitting our roots in the academic community, the IIS is actively engaged in promoting the industry’s role in understanding and mitigating risk.  By advancing the importance of top quality risk management education, the GCIE program will encourage more faculty and student talent in the field,” said Mike Morrissey, IIS President & CEO. The GCIE designation will be awarded to universities that meet the stringent criteria focused on course offerings, graduate and industry employment rates and professional involvement. The University must also demonstrate that students are learning primarily from designated full-time faculty with appropriate academic qualifications and research expertise. The IIS GCIE Evaluation Committee assesses applications for the designation and is represented by members of the academic community from insurance and risk management academic centers representing Europe, North America and Asia, as well as senior executives of global insurers. Further details about the GCIE: www.internationalinsurance.org/GCIE