NYDFS encourages financial institutions and insurers to review relationship with NRA

State Issues NYDFS

On April 19, the New York Department of Financial Services (NYDFS), at the direction of New York Governor Andrew Cuomo, issued guidance to all NYDFS–regulated insurers and NYDFS-regulated financial institutions encouraging them to review ties to the National Rifle Association (NRA) (available here and here) and similar gun promotion organizations. According to the announcement, the NYDFS is encouraging regulated entities to consider reputational risk and public safety in connection with their relationship with gun promotion organizations. The letters reference recent school violence in Parkland, Florida and note that financial institutions and insurers can play a significant role in public health and safety, and in light of recent events, should manage reputational and other risks associated with dealings with the NRA or other similar gun promotion organizations. The letters conclude by encouraging regulated institutions to take “prompt actions” regarding these concerns.