IIABNY said Mr. Poppa's remarks came during a continuing education video seminar on errors and omissions that is conducted at this time every year to about 700 producers throughout the state.

On May 25, IIABNY and the Council of Insurance Brokers of Greater New York took legal action to prevent the department from implementing the regulation.

"Our actions have followed our words," Mr. Poppa said. "Sure, we could have done the easy thing and sat back and watched the regulation unfold, but we did what is in the best interest of our members and what our members wanted us to do, which is to try and stop it."

In the meantime, Mr. Poppa told participants that while the association hopes to overturn the regulation, producers should prepare for its implementation. He said the association is planning two webinars and in-person meetings to educate producers about the new regulation.

An association spokesman said IIABNY has scheduled two webinars–one for July 14, and the other for August 12–and will also hold half-day seminar sessions on the regulation probably in or around major cities around the state.

The spokesman also said that no date has been set for hearing the department's challenge to the regulation.

The Professional Insurance Agents of New York (PIANY)–which opted not to join IIABNY's suit, deciding instead to continue discussions with the department–said it will offer step-by-step guidance to its members on complying with the regulation.

"Over the course of the next few months, PIA will provide guidance to members, including NYSID-authorized language and methods to efficiently incorporate the requirements of the regulation into their business' workflow," said PIANY Executive Director Diane Fowler.

PIANY said producers can provide input through the association's Agent & Broker Compensation Disclosure website.

Both IIABNY and PIANY said they are awaiting clarification from the department regarding compliance language and procedural issues.

A department spokesman said submitted compliance language from agent groups is still under review. He said it is anticipated that more guidance on disclosure language that producers would give clients would come out in July and a response to the individual submissions would be included then.