Licensed Insurance agents need to be on the lookout for new NY CE requirements beginning in April of 2022. The New York Department of Financial Services is putting Diversity, Equity and Inclusion (DEI) at the center of their priorities for 2022 and beyond. In March of 2021 the Superintendent of Financial Services, Linda Lacewell, issued Insurance Circular Letter No. 5 outlining the need for insurance companies to prioritize the hiring and development of individuals from diverse backgrounds. Lacewell’s letter parallels the DEI initiative from The State Education Department that focuses on DEI in New York public schools. These diversity related efforts will be integrated into the insurance examination process and continuing education requirements.
The increased focus on DEI in the insurance industry stems from recent research pointing to the benefits of emphasizing diversity. In her letter Lacewell claims that, “research shows that diverse teams perform better, innovate more, and more effective at managing risks”.  The letter specifically references a study published by McKinsey & Company, a management consulting firm, that details how companies with diverse leadership regularly outperform their less diverse competitors. The report, “Diversity Wins: How Inclusion Matters”, found that companies in the top quartile of gender diversity on executive teams were 25% more likely to have above-average profitability than companies in the fourth quartile. Similarly, companies in the top quartile of ethnic and cultural diversity outperformed companies in the fourth quartile by 36%. Throughout the industry the research strongly suggests that increased representation and diversity is beneficial to a company’s bottom line.
More Benefits Attributed to DEI
- More Innovation
- Better Risk Management
- Larger Talent Pool
- More Satisfied Employees
New Continuing Education Requirements
Given the benefits of hiring and developing diverse teams it is obvious why DEI should be promoted throughout the Insurance Industry. DFS determined that the best way to support the Insurance Industry’s DEI efforts is to collect and publish data related to the diversity of corporate boards and management. DFS hopes the strength and transparency of their data influences Insurers to treat diversity like any other strategic priority. Additionally, DFS will incorporate DEI into their license examination and their continuing education requirements. As of April 2022 NY Insurance Agents must complete three additional CE courses before each license renewal:
- 1 hour of Insurance Law instruction
- 1 Hour of Ethics and Professionalism instruction
- 1 Hour of Diversity, Inclusion, and Elimination of Bias instruction
These courses will educate insurance professionals about new trends and developments in the workplace through a discussion of the current industry refocus on diversity and inclusion. These new courses are included in the 15 hours of CE required every 2 years.
If you need to complete your CE hours for your license renewal Success CE offers the three new required courses as well as over 20 other approved courses in New York. Visit our State Requirements page to check if you need additional CE. Follow this link to purchase our Diversity + Ethics + Law Package that includes the newly required courses.
 Lacewell, Linda. “Insurance Circular Letter No. 5 (2021)” ny.gov, March 16, 2021. https://www.dfs.ny.gov/industry_guidance/circular_letters/cl2021_05
 Dixon-Fyle, Sundiatu et al. “Diversity Wins: How Inclusion Matters”. mckinsey.com, May 19, 2020. https://www.mckinsey.com/featured-insights/diversity-and-inclusion/diversity-wins-how-inclusion-matters
 Dixon-Fyle et al. 2020. https://www.mckinsey.com/featured-insights/diversity-and-inclusion/diversity-wins-how-inclusion-matters
 Lacewell. 2021. https://www.dfs.ny.gov/industry_guidance/circular_letters/cl2021_05#_edn13