RIMS Concerned Over Cuomo Announcement to Consolidate New York Insurance Department

NEW YORK (January 11, 2011) — The Risk and Insurance Management Society, Inc. (RIMS) expressed initial reservations today regarding New York Governor Andrew Cuomo’s proposal to merge the New York Insurance Department (NYID) into a combined Department of Financial Regulation (DIFR). RIMS recognizes the validity of the stated goals, namely reducing costs and increasing efficiency, but it is concerned that the NYID’S consumer protection mission may be weakened in the process of merging the two departments.

“The Insurance Department has the necessary expertise to understand and regulate the insurance industry,” says John Phelps, director, business risk solutions, Blue Cross and Blue Shield of Florida, Inc. and board liaison, RIMS External Affairs Committee. “We hope that the efforts the Department has made to increase consumer protection will not be negatively impacted by this proposed merger.”

RIMS looks forward to further information from the Governor regarding the proposal, and to working with all interested parties moving forward.

About RIMS

As the preeminent organization dedicated to promoting the profession of risk management, RIMS, the risk management society®, is a global not-for-profit organization representing more than 3,500 industrial, service, nonprofit, charitable and government entities throughout the world. Founded in 1950, RIMS is committed to advancing risk management capabilities for organizational success, bringing networking, professional development and education opportunities to its membership of more than 10,000 risk management professionals who are located in more than 60 countries. For more information on RIMS, visit www.RIMS.org.