New York regulators have rejected American Security Insurance Company’s plans to discontinue its Choice and First Select homeowners and dwelling fire programs, citing deficiencies in policyholder protections and measures to minimize market disruption.

The Assurant subsidiary proposed nonrenewing 553 policies across the four products, according to counts supplied with its December 2025 submissions. The books represented approximately $1.93 million in combined in-force premium.

The New York Department of Financial Services disapproved both filings November 10, 2026. Regulators said the insurer incorrectly interpreted the three-year required policy period under New York Insurance Law Section 3425 and that its plans did not comply with Section 3425(o)(2) and Regulation 154.

The homeowners submission covered 437 Choice policies and 45 First Select policies across 39 counties, representing approximately $1.71 million in premium. The dwelling fire submission covered 68 Choice policies and three First Select policies across 15 counties, representing approximately $218,000.

Suffolk County accounted for the largest concentration, with 271 homeowners policies and 35 dwelling fire policies in the original submissions.

American Security said discontinuing the programs would allow resources to shift toward a more comprehensive New York homeowners offering. In subsequent correspondence, it identified affiliate American Bankers Insurance Company of Florida as the company developing that product.

The insurer also said independent producers retained expiration rights and would be encouraged to remarket affected customers. It had not arranged replacement coverage separately.

DFS encouraged a pre-filing meeting before resubmission and said any new filings must address the outstanding concerns. The decisions do not authorize the proposed nonrenewal plans.