UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSRS
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-6500
Name of Fund: MuniYield New York Insured Fund, Inc.
Fund Address: P.O. Box 9011
Princeton, NJ 08543-9011
Name and address of agent for service: Terry K. Glenn, President, MuniYield New
York Insured Fund, Inc., 800 Scudders Mill Road, Plainsboro, NJ, 08536.
Mailing address: P.O. Box 9011, Princeton, NJ, 08543-9011
Registrant's telephone number, including area code: (609) 282-2800
Date of fiscal year end: 10/31/04
Date of reporting period: 11/01/03 - 04/30/04
Item 1 - Report to Stockholders
[LOGO] Merrill Lynch Investment Managers www.mlim.ml.com
MuniYield New York
Insured Fund, Inc.
Semi-Annual Report
April 30, 2004
[LOGO] Merrill Lynch Investment Managers
MuniYield New York Insured Fund, Inc.
The Benefits and Risks of Leveraging
MuniYield New York Insured Fund, Inc. utilizes leveraging to seek to enhance the
yield and net asset value of its Common Stock. However, these objectives cannot
be achieved in all interest rate environments. To leverage, the Fund issues
Preferred Stock, which pays dividends at prevailing short-term interest rates,
and invests the proceeds in long-term municipal bonds. The interest earned on
these investments, net of dividends to Preferred Stock, is paid to Common Stock
shareholders in the form of dividends, and the value of these portfolio holdings
is reflected in the per share net asset value of the Fund's Common Stock.
However, in order to benefit Common Stock shareholders, the yield curve must be
positively sloped; that is, short-term interest rates must be lower than
long-term interest rates. At the same time, a period of generally declining
interest rates will benefit Common Stock shareholders. If either of these
conditions change, then the risks of leveraging will begin to outweigh the
benefits.
To illustrate these concepts, assume a fund's Common Stock capitalization of
$100 million and the issuance of Preferred Stock for an additional $50 million,
creating a total value of $150 million available for investment in long-term
municipal bonds. If prevailing short-term interest rates are approximately 3%
and long-term interest rates are approximately 6%, the yield curve has a strong,
positive slope. The fund pays dividends on the $50 million of Preferred Stock
based on the lower short-term interest rates. At the same time, the fund's total
portfolio of $150 million earns the income based on long-term interest rates. Of
course, increases in short-term interest rates would reduce (and even eliminate)
the dividends on the Common Stock.
In this case, the dividends paid to Preferred Stock shareholders are
significantly lower than the income earned on the fund's long-term investments,
and therefore the Common Stock shareholders are the beneficiaries of the
incremental yield. However, if short-term interest rates rise, narrowing the
differential between short-term and long-term interest rates, the incremental
yield pickup on the Common Stock will be reduced or eliminated completely. At
the same time, the market value of the fund's Common Stock (that is, its price
as listed on the New York Stock Exchange) may, as a result, decline.
Furthermore, if long-term interest rates rise, the Common Stock's net asset
value will reflect the full decline in the price of the portfolio's investments,
since the value of the fund's Preferred Stock does not fluctuate. In addition to
the decline in net asset value, the market value of the fund's Common Stock may
also decline.
As a part of its investment strategy, the Fund may invest in certain securities
whose potential income return is inversely related to changes in a floating
interest rate ("inverse floaters"). In general, income on inverse floaters will
decrease when short-term interest rates increase and increase when short-term
interest rates decrease. Investments in inverse floaters may be characterized as
derivative securities and may subject the Fund to the risks of reduced or
eliminated interest payments and losses of invested principal. In addition,
inverse floaters have the effect of providing investment leverage and, as a
result, the market value of such securities will generally be more volatile than
that of fixed rate, tax-exempt securities. To the extent the Fund invests in
inverse floaters, the market value of the Fund's portfolio and the net asset
value of the Fund's shares may also be more volatile than if the Fund did not
invest in such securities. As of April 30, 2004, the percentage of the Fund's
total net assets invested in inverse floaters was 11.25%.
Swap Agreements
The Fund may also invest in swap agreements, which are over-the-counter
contracts in which one party agrees to make periodic payments based on the
change in market value of a specified bond, basket of bonds, or index in return
for periodic payments based on a fixed or variable interest rate or the change
in market value of a different bond, basket of bonds or index. Swap agreements
may be used to obtain exposure to a bond or market without owning or taking
physical custody of securities.
2 MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004
A Letter From the President
Dear Shareholder
For the six-month and 12-month periods ended April 30, 2004, the Lehman Brothers
Municipal Bond Index posted returns of +1.19% and +2.68%, respectively. Its
taxable counterpart, the Lehman Brothers Aggregate Bond Index, had returns of
+1.25% and +1.82% for the same periods. Amid considerable month-to-month
volatility, tax-exempt bond yields rose over the past year, although not to the
same extent as 10-year U.S. Treasury yields. In all, tax-exempt securities
continued to be an attractive fixed income investment alternative.
As of April month-end, the Federal Reserve Board maintained its accommodative
policy stance, although a better-than-expected employment report for the month
of March prompted speculation that an interest rate increase could come sooner
than many had expected. On April 2, 2004, the good news on the employment front
- -- previously the one dim spot in an otherwise bright economic picture -- helped
prompt the yield on the 10-year Treasury bond to spike nearly 25 basis points
(.25%), from 3.91% to 4.15%. Market watchers continue to monitor the economic
data and Federal Reserve Board language for indications of interest rate
direction. If economic growth maintains its recent pace and employment figures
continue to improve, many believe it is just a matter of time before interest
rates move upward.
Equity markets, in the meantime, gleaned support from the improving economic
environment and provided attractive returns. For the six-month and 12-month
periods ended April 30, 2004, the Standard & Poor's 500 Index returned +6.27%
and +22.88%, respectively. Significant fiscal and monetary stimulus in 2003,
including low interest rates and tax cuts, has opened the door to consumer
spending, capital spending, increases in exports and long-awaited job growth. As
expected, these developments have led the way to improvements in corporate
earnings -- a positive for stock markets.
The events and efforts of the past year leave us with a much stronger economy
today. Of course, markets will always fluctuate, and there are many
uncertainties -- not the least of which are geopolitical in nature -- which can
translate into negative market movements. Keeping this in mind, we encourage you
to revisit your portfolio and your asset allocation strategy to ensure you are
well positioned to take advantage of the opportunities that lie ahead.
Importantly, your financial advisor can help you develop a strategy most
suitable for your circumstances through all types of market and economic cycles.
We thank you for trusting Merrill Lynch Investment Managers with your investment
assets, and we look forward to serving you in the months and years ahead.
Sincerely,
/s/ Terry K. Glenn
Terry K. Glenn
President and Director
MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004 3
[LOGO] Merrill Lynch Investment Managers
A Discussion With Your Fund's Portfolio Manager
Interest rates remained at historic lows during the period, and we found
it prudent to maintain our focus on generating yield and limiting the Fund's
sensitivity to future interest rate changes.
Describe the recent market environment relative to municipal bonds.
For much of the six-month period, a positive economic backdrop helped bond
prices to move higher as yields, which typically move opposite of prices,
declined. In early April, however, a surprisingly strong monthly employment
report triggered fears that the long-accommodative Federal Reserve Board might
raise interest rates sooner than many had expected. As a result, bond yields
rose (prices fell) sharply for the remainder of the period. At the end of April,
long-term U.S. Treasury bond yields had climbed to 5.13%, representing an
increase of approximately 15 basis points (.15%) over the past six months.
Ten-year U.S. Treasury note yields stood at 4.30% as of period-end, an increase
of more than 20 basis points.
Tax-exempt bond yields generally mimicked the movement of their taxable
counterparts, although volatility in the municipal market was more subdued.
Long-term revenue bond yields, as measured by the Bond Buyer Revenue Bond Index,
rose just four basis points over the past six months. For the same period,
yields on AAA-rated issues maturing in 30 years increased approximately 10 basis
points to 4.93% while yields on 10-year, AAA-rated issues increased more than 16
basis points to nearly 4%, according to Municipal Market Data. The more marked
increase in 10-year bond yields may be attributed to the fact that recent
issuance has been heavily concentrated in the 10-year - 20-year range. The
resulting supply imbalance prompted higher intermediate bond yields (and lower
prices). Longer-maturity and lower-rated issues continued to benefit from more
favorable supply/demand factors and, therefore, have seen less price
depreciation. For the six-month period as a whole, municipal bond supply
declined approximately 5% compared to the same period a year ago.
Demand for tax-exempt municipal bonds has remained positive. According to
Investment Company Institute data, in the first three months of 2004, tax-exempt
bond funds saw net new cash flows of almost $640 million.
Describe conditions in the State of New York.
New York maintains credit ratings of A2 from Moody's, AA from Standard & Poor's
and AA- from Fitch. While the Moody's and Fitch ratings carry stable trends,
Standard & Poor's applies a negative trend to the state's credit rating.
Despite spending cuts and significant increases in personal and sales tax rates,
the state relied on one-time revenues, particularly $4.2 billion in proceeds
from tobacco settlement revenue bonds, to close its budget gap in the 2003 -
2004 fiscal year. The state faces a $5 billion budget deficit for the 2004 -
2005 fiscal year. Recommendations for closing the gap include $2.6 billion in
spending cuts and using $1.5 billion in non-recurring sources, significantly
less than the prior two fiscal years. Adopting and maintaining a balanced budget
will be difficult given political resistance to additional tax hikes and cuts in
popular programs, pressures from local governments for pension and Medicaid
relief, and the lack of readily available one-time revenue sources. Structural
balance may be further complicated by a pending court ruling on equitable school
funding that could add up to $2 billion in annual education spending. However,
the state historically has been able to close prior budget gaps with a mix of
tax increases, spending cuts and non-recurring revenues.
How did the Fund perform during the period in light of the existing market
conditions?
For the six-month period ended April 30, 2004, the Common Stock of MuniYield New
York Insured Fund, Inc. had net annualized yields of 5.84% and 6.69%, based on a
period-end per share net asset value of $14.35 and a per share market price of
$12.53, respectively, and $.418 per share income dividends. Over the same
period, the total investment return on the Fund's Common Stock was -.08%, based
on a change in per share net asset value from $14.81 to $14.35, and assuming
reinvestment of $.417 per share ordinary income dividends.
The average yields for the Fund's Auction Market Preferred Stock (AMPS) for the
six months ended April 30, 2004 were: .92% for Series A; .77% for Series B; .81%
for Series C; .84% for Series D; and .92% for Series E.
The Fund's total return, based on net asset value, lagged the +1.06% return of
the Lipper New York Insured Municipal Debt Funds category for the six-month
period. (Funds in this Lipper category invest primarily in securities exempt
from taxation in New York and insured as to timely payment.) Given our concerns
about the negative price impact associated with rising rates, we employed a
shorter relative duration to limit the Fund's sensitivity to interest rate
moves.
4 MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004
However, interest rates remained low for much of the period, which hurt
performance compared to the Fund's more aggressive peers.
Despite the portfolio's defensive positioning, the Fund underperformed its
Lipper peer group to a large extent because of the write-down of a defaulted
credit involving Cicero, New York Local Development Corp. In October 2003, this
position of slightly over $3.75 million in bonds was trading at a dollar price
of near par. A deterioration in the credit situation resulted in a default being
declared by the agency and the position was subsequently written down to its
current evaluation of $.16125 on the dollar.
For a description of the Fund's total investment return based on a change in the
per share market value of the Fund's Common Stock (as measured by the trading
price of the Fund's shares on the New York Stock Exchange), and assuming
reinvestment of dividends, please refer to the Financial Highlights section
included in this report. As a closed-end fund, the Fund's shares may trade in
the secondary market at a premium or discount to the Fund's net asset value. As
a result, total investment returns based on changes in the market value of the
Fund's Common Stock can vary significantly from total investment return based on
changes in the Fund's net asset value.
What changes were made to the portfolio during the period?
We maintained our focus on the dual goals of increasing the Fund's current
income accrual and reducing sensitivity to interest rate volatility. To that
end, we maintained a duration slightly shorter than our peers and sought to
purchase securities with more defensive structural characteristics. We also
employed interest rate futures and a hedging strategy involving interest rate
swaps to address the Fund's relative duration position. Because swap securities
tend to have higher coupons, they also serve to increase current return. A
higher sustained current return can eventually lead to increased dividend
distributions to shareholders.
The Fund's borrowing costs remained around 1% throughout most of the six-month
period. These attractive funding levels, in combination with the steep municipal
yield curve, continued to generate significant income to the Fund's Common Stock
shareholders. The Federal Reserve Board appears poised to begin raising
short-term interest rates, most likely later in 2004. The increase, however, is
expected to be gradual and should not have a material impact on the positive
advantage leverage has had on the Fund's Common Stock yield. However, should the
spread between short-term and long-term interest rates narrow, the benefits of
leveraging will decline and, as a result, reduce the yield on the Fund's Common
Stock. At the end of the period, the Fund's leverage amount, due to AMPS, was
31.40% of total assets. (For a more complete explanation of the benefits and
risks of leveraging, see page 2 of this report to shareholders.)
How would you characterize the portfolio's position at the close of the period?
We believe our defensive market stance remains an appropriate approach as the
Federal Reserve Board prepares to embark on a program of increasing short-term
interest rates. This should cushion the negative price action that would result
in an increasing interest rate environment, but also causes the Fund to react
slower when interest rates decline.
Given the market's anticipation of Federal Reserve Board action, and the
coincident sell-off that already has occurred, we believe the risks to the
market are less as we enter the current period than they were at the beginning
of the period just ended. Regardless of the ultimate Federal Funds target rate,
we believe we are entering a market with above-average volatility where
enhancing current income and a long-term horizon are paramount.
Timothy T. Browse
Portfolio Manager
May 26, 2004
- --------------------------------------------------------------------------------
We are pleased to announce that Timothy T. Browse, CFA, was named portfolio
manager of MuniYield New York Insured Fund, Inc. and has been primarily
responsible for the day-to-day management of the Fund's portfolio since April
19, 2004. Mr. Browse is a Vice President and portfolio manager with the
Tax-Exempt Fixed Income group of Merrill Lynch Investment Managers, L.P.
Previously, he was a Vice President, portfolio manager and team leader of the
Municipal Investments Team with Lord Abbett & Co. from 2000 to 2003 and Vice
President and portfolio manager in the municipal fund management group of Eaton
Vance Management, Inc. from 1992 to 2000.
- --------------------------------------------------------------------------------
MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004 5
[LOGO] Merrill Lynch Investment Managers
Schedule of Investments (in Thousands)
S&P Moody's Face
Ratings Ratings Amount Municipal Bonds Value
===============================================================================================================================
New York--131.8%
- -------------------------------------------------------------------------------------------------------------------------------
AAA Aaa $23,790 Albany County, New York, Airport Authority, Airport Revenue
Bonds, AMT, 6% due 12/15/2023 (c) $26,143
----------------------------------------------------------------------------------------------------------
AAA Aaa 3,000 Battery Park City Authority, New York, Senior Revenue
Refunding Bonds, Series A, 5% due 11/01/2023 3,057
----------------------------------------------------------------------------------------------------------
AAA Aaa 8,200 Buffalo and Fort Erie, New York, Public Bridge Authority, Toll
Bridge System Revenue Bonds, 5.75% due 1/01/2025 (d) 8,449
----------------------------------------------------------------------------------------------------------
Buffalo, New York, School, GO, Series D (b):
AAA Aaa 1,250 5.50% due 12/15/2014 1,376
AAA Aaa 1,500 5.50% due 12/15/2016 1,646
----------------------------------------------------------------------------------------------------------
AAA Aaa 4,300 Buffalo, New York, Sewer Authority Revenue Refunding Bonds,
Series F, 6% due 7/01/2013 (b) 4,974
----------------------------------------------------------------------------------------------------------
NR* C 3,750 Cicero, New York, Local Development Corporation Revenue Bonds
(Cicero Community Recreation Project), Series A, 6.75%
due 5/01/2042 605
----------------------------------------------------------------------------------------------------------
AAA Aaa 1,700 Dutchess County, New York, Resource Recovery Agency Revenue
Bonds (Solid Waste System--Forward), Series A, 5.40%
due 1/01/2013 (d) 1,851
----------------------------------------------------------------------------------------------------------
Erie County, New York, IDA, School Facility Revenue Bonds (City
of Buffalo Project) (c):
AAA Aaa 1,900 5.75% due 5/01/2020 2,093
AAA Aaa 5,250 5.75% due 5/01/2024 5,661
----------------------------------------------------------------------------------------------------------
Huntington, New York, GO, Refunding (a):
NR* Aaa 485 5.50% due 4/15/2011 542
NR* Aaa 460 5.50% due 4/15/2012 516
NR* Aaa 455 5.50% due 4/15/2013 508
NR* Aaa 450 5.50% due 4/15/2014 503
NR* Aaa 450 5.50% due 4/15/2015 502
----------------------------------------------------------------------------------------------------------
NR* Aaa 1,675 Ilion, New York, Central School District, GO, Series B, 5.50%
due 6/15/2015 (b) 1,894
----------------------------------------------------------------------------------------------------------
AAA Aaa 9,250 Long Island Power Authority, New York, Electric System Revenue
Bonds, Series C, 5% due 9/01/2033 (j) 9,151
----------------------------------------------------------------------------------------------------------
AAA Aaa 3,900 Long Island Power Authority, New York, Electric System Revenue
Refunding Bonds, Series A, 5.25% due 12/01/2026 (d) 3,950
----------------------------------------------------------------------------------------------------------
AAA Aaa 4,375 Madison County, New York, IDA, Civic Facility Revenue Bonds
(Colgate University Project), Series A, 5% due 7/01/2039 (d) 4,316
----------------------------------------------------------------------------------------------------------
AAA Aaa 2,000 Metropolitan Transportation Authority, New York, Commuter
Facilities Revenue Bonds, Series A, 5.75% due 1/01/2008 (d)(e) 2,246
----------------------------------------------------------------------------------------------------------
AAA Aaa 10,000 Metropolitan Transportation Authority, New York, Commuter
Facilities Revenue Refunding Bonds, Series B, 4.875%
due 7/01/2018 (b)(h) 10,357
----------------------------------------------------------------------------------------------------------
Metropolitan Transportation Authority, New York, Dedicated Tax
Fund Revenue Bonds, Series A:
AAA Aaa 7,280 5% due 11/15/2031 (b) 7,258
AAA Aaa 1,015 5% due 11/15/2032 (c) 1,010
----------------------------------------------------------------------------------------------------------
Metropolitan Transportation Authority, New York, Dedicated Tax
Fund Revenue Refunding Bonds, Series A:
AAA Aaa 7,500 5.50% due 11/15/2026 (c) 7,807
AAA Aaa 10,000 5% due 11/15/2030 (d) 10,007
Portfolio Abbreviations
To simplify the listings of MuniYield New York Insured Fund, Inc.'s portfolio
holdings in the Schedule of Investments, we have abbreviated the names of many
of the securities according to the list at right.
AMT Alternative Minimum Tax (subject to)
COP Certificates of Participation
DRIVERS Derivative Inverse Tax-Exempt Receipts
GO General Obligation Bonds
HFA Housing Finance Agency
IDA Industrial Development Authority
IDR Industrial Development Revenue Bonds
RIB Residual Interest Bonds
VRDN Variable Rate Demand Notes
6 MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004
Schedule of Investments (continued) (in Thousands)
S&P Moody's Face
Ratings Ratings Amount Municipal Bonds Value
===============================================================================================================================
New York (continued)
- -------------------------------------------------------------------------------------------------------------------------------
Metropolitan Transportation Authority, New York, Revenue
Refunding Bonds:
NR* Aaa $28,900 RIB, Series 724X, 10.15% due 11/15/2032 (c)(f) $33,149
AAA Aaa 2,500 Series A, 5.50% due 11/15/2018 (a) 2,714
AAA Aaa 10,000 Series A, 5% due 11/15/2030 (c) 10,007
AAA Aaa 2,500 Series A, 5.25% due 11/15/2031 (b) 2,559
AAA Aaa 1,500 Series B, 5% due 11/15/2028 (d) 1,503
----------------------------------------------------------------------------------------------------------
Metropolitan Transportation Authority, New York, Transit
Facilities Revenue Refunding Bonds:
AAA Aaa 350 Series B, 4.75% due 7/01/2026 (b)(h) 346
AAA Aaa 2,025 Series C, 5.125% due 1/01/2012 (c)(e) 2,215
AAA Aaa 860 Series C, 5.125% due 1/01/2012 (c)(e) 941
AAA Aaa 1,640 Series C, 5.125% due 7/01/2012 (c)(e) 1,799
----------------------------------------------------------------------------------------------------------
Metropolitan Transportation Authority, New York, Transportation
Revenue Refunding Bonds (d):
AAA Aaa 800 Series E, 5.125% due 11/15/2024 819
AAA Aaa 2,000 Series F, 5.25% due 11/15/2027 2,054
AAA Aaa 8,200 Series F, 5% due 11/15/2031 8,200
----------------------------------------------------------------------------------------------------------
Monroe County, New York, IDA Revenue Bonds (Southview Towers
Project), AMT:
NR* Aa1 1,400 6.125% due 2/01/2020 1,516
NR* Aa1 1,125 6.25% due 2/01/2031 1,216
----------------------------------------------------------------------------------------------------------
AAA Aaa 12,130 Nassau Health Care Corporation, New York, Health System Revenue
Bonds, 5.75% due 8/01/2029 (c) 12,902
----------------------------------------------------------------------------------------------------------
BBB A3 705 New York City, New York, City Health and Hospital Corporation,
Health System Revenue Bonds, Series A, 5.375% due 2/15/2026 707
----------------------------------------------------------------------------------------------------------
AAA Aaa 3,000 New York City, New York, City Health and Hospital Corporation,
Health System Revenue Refunding Bonds, Series A, 5.25%
due 2/15/2012 (a) 3,263
----------------------------------------------------------------------------------------------------------
AAA Aaa 1,275 New York City, New York, City IDA, Civic Facility Revenue
Refunding Bonds (Nightingale-Bamford School), 5.25%
due 1/15/2018 (a) 1,360
----------------------------------------------------------------------------------------------------------
AAA Aaa 15,720 New York City, New York, City IDA, IDR (Japan Airlines Company),
AMT, 6% due 11/01/2015 (c) 16,323
----------------------------------------------------------------------------------------------------------
AAA Aaa 7,970 New York City, New York, City IDA, Parking Facility Revenue
Bonds (Royal Charter--New York Presbyterian), 5.75%
due 12/15/2029 (c) 8,639
----------------------------------------------------------------------------------------------------------
AAA Aaa 14,970 New York City, New York, City IDA, Special Facilities Revenue
Bonds (Terminal One Group), AMT, 6.125% due 1/01/2024 (d) 15,341
----------------------------------------------------------------------------------------------------------
New York City, New York, City Municipal Water Finance Authority,
Water and Sewer System Revenue Bonds:
NR* Aaa 12,500 RIB, Series 726X, 10.15% due 6/15/2027 (d)(f) 14,371
AAA Aaa 2,850 Series A, 5.75% due 6/15/2031 (b) 3,055
AAA Aaa 4,085 Series B, 5.75% due 6/15/2006 (d)(e) 4,451
AAA Aaa 17,200 Series B, 5.75% due 6/15/2029 (d) 18,441
A1+ VMIG1+ 1,400 VRDN, Series C, 1.04% due 6/15/2023 (b)(g) 1,400
----------------------------------------------------------------------------------------------------------
New York City, New York, City Municipal Water Finance Authority,
Water and Sewer System Revenue Refunding Bonds:
AAA Aaa 5,000 5.50% due 6/15/2033 (d) 5,200
AAA Aaa 2,250 Series A, 5.375% due 6/15/2026 (c) 2,313
AAA Aaa 7,015 Series B, 5.75% due 6/15/2026 (d) 7,456
A1+ VMIG1+ 2,100 VRDN, Series A, 1.05% due 6/15/2025 (b)(g) 2,100
A1+ VMIG1+ 22,600 VRDN, Series G, 1.05% due 6/15/2024 (b)(g) 22,600
----------------------------------------------------------------------------------------------------------
AAA Aaa 1,020 New York City, New York, City Transit Authority, Metropolitan
Transportation Authority, Triborough, COP, Series A, 5.625%
due 1/01/2012 (a) 1,129
MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004 7
[LOGO] Merrill Lynch Investment Managers
Schedule of Investments (continued) (in Thousands)
S&P Moody's Face
Ratings Ratings Amount Municipal Bonds Value
===============================================================================================================================
New York (continued)
- -------------------------------------------------------------------------------------------------------------------------------
New York City, New York, City Transitional Finance Authority
Revenue Bonds, Future Tax Secured:
AAA Aaa $ 6,805 Series B, 6.25% due 5/15/2010 (b)(e) $ 7,971
AA+ Aa2 800 Series B, 6.25% due 5/15/2010 (e) 937
AA+ Aa2 3,180 Series C, 5.50% due 5/01/2025 3,293
AAA Aaa 8,020 Series E, 5.25% due 2/01/2017 (b) 8,594
AAA Aaa 2,500 Series E, 5.25% due 2/01/2022 (d) 2,623
----------------------------------------------------------------------------------------------------------
AAA Aaa 3,000 New York City, New York, City Transitional Finance Authority,
Revenue Refunding Bonds, Future Tax Secured, Series D, 5.25%
due 2/01/2021 (d) 3,166
----------------------------------------------------------------------------------------------------------
AAA Aaa 6,395 New York City, New York, City Trust Cultural Resource Revenue
Bonds (Wildlife Conservation Society), 5% due 2/01/2034 (b) 6,409
----------------------------------------------------------------------------------------------------------
New York City, New York, GO:
NR* Aaa 11,042 RIB, Series 725X, 10.15% due 3/15/2027 (c)(f) 12,686
AAA Aaa 3,000 Series A, 5.75% due 5/15/2024 (b) 3,219
AAA Aaa 2,500 Series B, 5.75% due 8/01/2013 (d) 2,786
A A2 3,750 Series D, 5.25% due 10/15/2023 3,840
A1+ VMIG1+ 1,000 VRDN, Sub-Series A-6, 1.05% due 11/01/2026 (c)(g) 1,000
----------------------------------------------------------------------------------------------------------
New York City, New York, GO, Refunding:
AAA Aaa 1,000 Series A, 6.375% due 5/15/2013 (b) 1,157
AAA Aaa 70 Series B, 7% due 2/01/2018 (a) 70
A A2 3,650 Series G, 5.75% due 2/01/2020 3,875
----------------------------------------------------------------------------------------------------------
AAA Aaa 11,500 New York City, New York, IDA, Civic Facility Revenue Bonds
(USTA National Tennis Center Project), 6.375% due 11/15/2014 (c) 12,019
----------------------------------------------------------------------------------------------------------
New York State Dormitory Authority Revenue Bonds:
AAA NR* 4,150 (Eger Health Care and Rehabilitation Center), 6.10%
due 8/01/2037 (i) 4,484
AA NR* 1,500 (Long Island University), Series B, 5.25% due 9/01/2028 (k) 1,514
AA- NR* 1,840 (Mental Health Services Facilities Improvement), Series B,
5.25% due 2/15/2023 1,895
AAA Aaa 2,000 (New School for Social Research), 5.75% due 7/01/2026 (d) 2,144
AAA Aaa 1,180 (New York State Rehabilitation Association), Series A, 5.25%
due 7/01/2019 (j) 1,243
AAA Aaa 1,000 (New York State Rehabilitation Association), Series A, 5.125%
due 7/01/2023 (j) 1,019
AAA Aaa 6,900 (School Districts Financing Program), Series E, 5.75%
due 10/01/2030 (d) 7,410
AAA Aaa 1,000 Series B, 6.50% due 2/15/2011 (d)(h) 1,182
NR* Aaa 1,000 (Skidmore College), 5% due 7/01/2028 (b) 1,003
NR* Aaa 1,785 (Skidmore College), 5% due 7/01/2033 (b) 1,779
AAA Aaa 2,560 (State University Adult Facilities), Series B, 5.75%
due 5/15/2010 (c)(e) 2,929
AAA Aaa 1,000 (State University Adult Facilities), Series B, 5.75%
due 5/15/2010 (c)(e) 1,144
AAA Aaa 710 (Upstate Community Colleges), Series A, 6% due 7/01/2015 (c) 806
AAA Aaa 1,070 (Upstate Community Colleges), Series A, 6% due 7/01/2016 (c) 1,217
----------------------------------------------------------------------------------------------------------
New York State Dormitory Authority, Revenue Refunding Bonds:
AAA Aaa 1,000 (City University System), Consolidated, Series 1, 5.625%
due 1/01/2008 (c)(e) 1,123
AAA Aaa 4,400 (City University System), Series C, 7.50% due 7/01/2010 (b) 5,135
AAA Aaa 4,255 (Mental Health Services Facilities Improvement), Series A,
5.75% due 2/15/2007 (d)(e) 4,739
AAA Aaa 150 (Mental Health Services Facilities Improvement), Series A,
5.75% due 2/15/2027 (d) 159
AAA Aaa 1,370 (School District Financing Program), Series I, 5.75%
due 10/01/2018 (d) 1,521
AAA Aaa 6,000 (Siena College), 5.75% due 7/01/2026 (d) 6,431
----------------------------------------------------------------------------------------------------------
AA NR* 1,620 New York State Dormitory Authority, State Personal Income Tax
Education Revenue Bonds, Series A, 5% due 3/15/2018 (d) 1,681
----------------------------------------------------------------------------------------------------------
AAA Aaa 12,750 New York State Energy Research and Development Authority,
Facilities Revenue Refunding Bonds (Consolidated Edison Co.
of New York), Series A, 6.10% due 8/15/2020 (a) 13,588
8 MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004
Schedule of Investments (continued) (in Thousands)
S&P Moody's Face
Ratings Ratings Amount Municipal Bonds Value
===============================================================================================================================
New York (continued)
- -------------------------------------------------------------------------------------------------------------------------------
AAA Aaa $ 4,555 New York State Energy Research and Development Authority, Gas
Facilities Revenue Bonds (Brooklyn Union Gas Company), AMT,
Series B, 6.75% due 2/01/2024 (d) $ 4,619
----------------------------------------------------------------------------------------------------------
AAA Aaa 3,500 New York State Environmental Facilities Corporation, Special
Obligation Revenue Refunding Bonds (Riverbank State Park),
6.25% due 4/01/2012 (a) 4,069
----------------------------------------------------------------------------------------------------------
AAA Aaa 10,000 New York State Environmental Facilities Corporation, State
Clean Water and Drinking Revenue Bonds (New York City Water
Project), Series B, 5% due 6/15/2031 10,019
----------------------------------------------------------------------------------------------------------
AAA Aaa 2,405 New York State, HFA, Revenue Refunding Bonds (Housing Mortgage
Project), Series A, 6.10% due 11/01/2015 (c) 2,517
----------------------------------------------------------------------------------------------------------
New York State Medical Care Facilities Finance Agency Revenue
Bonds:
AAA Aaa 5,375 (Health Center Project--Second Mortgage), Series A, 6.375%
due 11/15/2019 (a) 5,803
AAA Aaa 25 (Mental Health Services), Series A, 6% due 2/15/2005 (d)(e) 26
AAA Aaa 1,475 (Mental Health Services), Series A, 6% due 2/15/2005 (d)(e) 1,558
----------------------------------------------------------------------------------------------------------
New York State Medical Care Facilities Finance Agency, Revenue
Refunding Bonds, (Hospital & Nursing Homes) (i):
AAA Aa2 2,000 Series B, 6.25% due 2/15/2025 2,131
AAA Aaa 11,085 Series C, 6.375% due 8/15/2004 (d)(e) 11,251
----------------------------------------------------------------------------------------------------------
AAA Aaa 9,755 New York State Mortgage Agency, Homeowner Mortgage Revenue
Refunding Bonds, AMT, Series 67, 5.80% due 10/01/2028 (d) 9,908
----------------------------------------------------------------------------------------------------------
New York State Mortgage Agency Revenue Bonds, AMT (d):
AAA Aaa 290 24th Series, 6.125% due 10/01/2030 296
AAA Aaa 2,850 DRIVERS, Series 295, 10.362% due 4/01/2030 (f) 3,159
----------------------------------------------------------------------------------------------------------
New York State Municipal Bond Bank Agency, Special School Purpose
Revenue Bonds, Series C:
A+ NR* 3,970 5.25% due 6/01/2019 4,115
A+ NR* 3,920 5.25% due 6/01/2020 4,043
A+ NR* 2,250 5.25% due 6/01/2021 2,314
A+ NR* 3,150 5.25% due 12/01/2021 3,239
A+ NR* 1,650 5.25% due 6/01/2022 1,688
A+ NR* 1,825 5.25% due 12/01/2022 1,867
----------------------------------------------------------------------------------------------------------
AAA Aaa 2,820 New York State Thruway Authority, Highway and Bridge Trust Fund
Revenue Bonds, Series A, 6.25% due 4/01/2011 (c) 3,244
----------------------------------------------------------------------------------------------------------
AAA Aaa 3,045 New York State Thruway Authority, Second General Highway and
Bridge Trust Fund Revenue Bonds, Series A, 5.25%
due 4/01/2023 (d) 3,186
----------------------------------------------------------------------------------------------------------
New York State Thruway Authority, Service Contract Revenue
Bonds (Local Highway and Bridges Project) (e):
AAA Aaa 3,000 5.75% due 4/01/2010 (a) 3,429
AAA Aaa 2,000 Series A-2, 5.375% due 4/01/2008 (d) 2,222
----------------------------------------------------------------------------------------------------------
New York State Thruway Authority, Service Contract Revenue
Refunding Bonds (Local Highway) (d):
AAA Aaa 2,170 6% due 4/01/2007 (e) 2,441
AAA Aaa 1,330 6% due 4/01/2011 1,481
AAA Aaa 2,075 6% due 4/01/2012 2,310
----------------------------------------------------------------------------------------------------------
New York State Thruway, Transportation Authority, State
Personal Income Tax Revenue Bonds, Series A (d):
AAA Aaa 1,525 5% due 3/15/2020 1,576
AAA Aaa 1,525 5% due 3/15/2022 1,561
----------------------------------------------------------------------------------------------------------
AAA Aaa 3,190 New York State Urban Development Corporation, Revenue Refunding
Bonds (Correctional Capital Facilities), Series A, 6.50%
due 1/01/2011 (c) 3,734
----------------------------------------------------------------------------------------------------------
Niagara County, New York, IDA, Solid Waste Disposal Revenue
Refunding Bonds, AMT:
BBB Baa1 8,000 Series A, 5.45% due 11/15/2026 8,535
BBB Baa1 2,000 Series C, 5.625% due 11/15/2024 2,090
MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004 9
[LOGO] Merrill Lynch Investment Managers
Schedule of Investments (continued) (in Thousands)
S&P Moody's Face
Ratings Ratings Amount Municipal Bonds Value
===============================================================================================================================
New York (continued)
- -------------------------------------------------------------------------------------------------------------------------------
AAA Aaa $ 1,000 Niagara Falls, New York, GO (Water Treatment Plant), AMT, 7.25%
due 11/01/2010 (d) $ 1,195
----------------------------------------------------------------------------------------------------------
Niagara Falls, New York, Public Water Authority, Water and Sewer
System Revenue Bonds, Series A (d):
AAA Aaa 1,100 5.50% due 7/15/2026 1,145
AAA Aaa 3,000 5% due 7/15/2034 2,988
----------------------------------------------------------------------------------------------------------
AAA Aaa 2,705 Niagara, New York, Frontier Authority, Airport Revenue Bonds
(Buffalo Niagara International Airport), Series B, 5.50%
due 4/01/2019 (d) 2,917
----------------------------------------------------------------------------------------------------------
AAA Aaa 1,260 North Country, New York, Development Authority, Solid Waste
Management System Revenue Refunding Bonds, 6% due 5/15/2015 (c) 1,442
----------------------------------------------------------------------------------------------------------
North Hempstead, New York, GO, Refunding, Series B (b):
AAA Aaa 1,745 6.40% due 4/01/2013 2,066
AAA Aaa 555 6.40% due 4/01/2017 668
----------------------------------------------------------------------------------------------------------
AAA Aaa 1,665 Oneida County, New York, IDA, Civic Facilities Revenue Bonds
(Mohawk Valley), Series A, 5.20% due 2/01/2013 (c) 1,764
----------------------------------------------------------------------------------------------------------
AAA Aaa 2,180 Port Authority of New York and New Jersey, Consolidated Revenue
Bonds, AMT, 97th Series, 6.50% due 7/15/2019 (b) 2,266
----------------------------------------------------------------------------------------------------------
AAA Aaa 4,000 Port Authority of New York and New Jersey, Consolidated Revenue
Refunding Bonds, AMT, 119th Series, 5.50% due 9/15/2016 (b) 4,252
----------------------------------------------------------------------------------------------------------
NR* Aaa 4,075 Port Authority of New York and New Jersey, Revenue Bonds, Trust
Receipts, AMT, Class R, Series 10, 10.34% due 1/15/2017 (c)(f) 4,710
----------------------------------------------------------------------------------------------------------
AAA NR* 7,500 Port Authority of New York and New Jersey, Revenue Refunding Bonds,
DRIVERS, AMT, Series 177, 10.607% due 10/15/2032 (d)(f) 8,708
----------------------------------------------------------------------------------------------------------
Port Authority of New York and New Jersey, Special Obligation
Revenue Bonds, AMT (d):
AAA NR* 1,750 DRIVERS, Series 192, 10.106% due 12/01/2025 (f) 1,919
AAA NR* 5,080 DRIVERS, Series 278, 10.105% due 12/01/2022 (f) 5,816
AAA Aaa 7,175 (JFK International Air Terminal LLC), Series 6, 6.25%
due 12/01/2011 7,998
AAA Aaa 14,750 (JFK International Air Terminal), Series 6, 6.25%
due 12/01/2010 16,484
AAA Aaa 4,425 (Special Project--JFK International Air Terminal), Series 6,
6.25% due 12/01/2013 4,940
AAA Aaa 7,380 (Special Project--JFK International Air Terminal), Series 6,
6.25% due 12/01/2014 8,279
----------------------------------------------------------------------------------------------------------
AAA Aaa 1,255 Rensselaer County, New York, IDA, Civic Facility Revenue Bonds
(Polytech Institute), Series B, 5.50% due 8/01/2022 (a) 1,342
----------------------------------------------------------------------------------------------------------
A A3 4,625 Suffolk County, New York, IDA, IDR (Keyspan-Port Jefferson), AMT,
5.25% due 6/01/2027 4,520
----------------------------------------------------------------------------------------------------------
Suffolk County, New York, IDA, Solid Waste Disposal Facility,
Revenue Refunding Bonds (Ogden Martin System Huntington Project),
AMT (a):
AAA Aaa 8,530 6% due 10/01/2010 9,691
AAA Aaa 9,170 6.15% due 10/01/2011 10,513
AAA Aaa 6,470 6.25% due 10/01/2012 7,450
----------------------------------------------------------------------------------------------------------
Tobacco Settlement Financing Corporation of New York Revenue
Bonds:
AAA Aaa 5,000 Series A-1, 5.25% due 6/01/2021 (a) 5,209
AAA Aaa 2,000 Series A-1, 5.25% due 6/01/2022 (a) 2,069
AA- A3 2,000 Series C-1, 5.50% due 6/01/2021 2,110
AA- A3 1,900 Series C-1, 5.50% due 6/01/2022 1,994
10 MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004
Schedule of Investments (continued) (in Thousands)
S&P Moody's Face
Ratings Ratings Amount Municipal Bonds Value
===============================================================================================================================
New York (concluded)
- -------------------------------------------------------------------------------------------------------------------------------
AA- Aa3 $ 9,400 Triborough Bridge and Tunnel Authority, New York, General
Purpose Revenue Bonds, Series A, 5.50% due 1/01/2032 $ 9,643
----------------------------------------------------------------------------------------------------------
AAA Aa3 2,305 Triborough Bridge and Tunnel Authority, New York, General
Purpose Revenue Refunding Bonds, Series Y, 6%
due 1/01/2012 (d)(h) 2,636
----------------------------------------------------------------------------------------------------------
AAA Aaa 1,410 Triborough Bridge and Tunnel Authority, New York, General Revenue
Refunding Bonds, Series B, 5% due 11/15/2010 (d) 1,543
----------------------------------------------------------------------------------------------------------
Triborough Bridge and Tunnel Authority, New York, Revenue
Refunding Bonds (d):
AAA Aaa 7,000 5.25% due 11/15/2023 7,313
AAA Aaa 20,390 5% due 11/15/2032 20,359
----------------------------------------------------------------------------------------------------------
AAA Aaa 2,500 Triborough Bridge and Tunnel Authority, New York, Subordinate
Revenue Bonds, 5% due 11/15/2032 (b) 2,496
----------------------------------------------------------------------------------------------------------
NR* A3 2,500 United Nations Development Corporation, New York, Revenue
Refunding Bonds, Senior Lien, Series A, 5.25% due 7/01/2020 2,563
----------------------------------------------------------------------------------------------------------
AAA Aaa 2,010 Yonkers, New York, GO, Series A, 5.75% due 10/01/2017 (b) 2,235
----------------------------------------------------------------------------------------------------------
===============================================================================================================================
Guam--0.8%
- -------------------------------------------------------------------------------------------------------------------------------
A.B. Won Guam International Airport Authority, General Revenue
Refunding Bonds, AMT, Series C (d):
AAA Aaa 2,240 5.25% due 10/01/2021 2,318
AAA Aaa 2,050 5.25% due 10/01/2022 2,106
----------------------------------------------------------------------------------------------------------
===============================================================================================================================
Puerto Rico--11.7%
- -------------------------------------------------------------------------------------------------------------------------------
Children's Trust Fund Project of Puerto Rico, Tobacco Settlement
Revenue Refunding Bonds:
BBB Baa3 1,000 5.375% due 5/15/2033 941
BBB Baa3 10,000 5.50% due 5/15/2039 9,258
----------------------------------------------------------------------------------------------------------
Puerto Rico Commonwealth, GO, Refunding, Series A:
AAA Aaa 10,000 4% due 7/01/2031 (b) 10,117
AAA Aaa 2,500 5% due 7/01/2031 (c) 2,702
----------------------------------------------------------------------------------------------------------
Puerto Rico Commonwealth, Highway and Transportation Authority,
Transportation Revenue Bonds:
AAA Aaa 1,900 5.25% due 7/01/2018 (b) 2,056
AAA Aaa 2,265 Series G, 5.25% due 7/01/2019 (b) 2,437
AAA Aaa 1,000 Series G, 5.25% due 7/01/2021 (b) 1,067
AAA Aaa 1,250 Trust Receipts, Class R, Series B, 10.34%
due 7/01/2035 (d)(f) 1,554
----------------------------------------------------------------------------------------------------------
A Baa1 8,495 Puerto Rico Commonwealth, Highway and Transportation Authority,
Transportation Revenue Refunding Bonds, Series D, 5.75%
due 7/01/2041 8,967
----------------------------------------------------------------------------------------------------------
Puerto Rico Commonwealth, Public Improvement, GO, Series A:
A- Baa1 4,605 5.25% due 7/01/2019 4,806
A- Baa1 7,480 5.25% due 7/01/2020 7,772
----------------------------------------------------------------------------------------------------------
A- A3 4,750 Puerto Rico Electric Power Authority, Power Revenue Bonds,
Series NN, 5.125% due 7/01/2029 4,755
----------------------------------------------------------------------------------------------------------
BBB+ Baa3 3,000 Puerto Rico Public Finance Corporation, Commonwealth
Appropriation Revenue Bonds, Series E, 5.50% due 8/01/2029 3,062
----------------------------------------------------------------------------------------------------------
AAA NR* 6,100 Puerto Rico Public Finance Corporation Revenue Bonds, DRIVERS,
Series 272, 9.975% due 8/01/2030 (f) 6,765
----------------------------------------------------------------------------------------------------------
Total Municipal Bonds (Cost--$796,438)--144.3% 816,659
==========================================================================================================
MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004 11
[LOGO] Merrill Lynch Investment Managers
Schedule of Investments (concluded) (in Thousands)
Shares
Held Short-Term Securities Value
==========================================================================================================
50 CMA New York Municipal Money Fund (l) $ 50
----------------------------------------------------------------------------------------------------------
Total Short-Term Securities (Cost--$50)--0.0% 50
==========================================================================================================
Total Investments (Cost--$796,488)--144.3% 816,709
Other Assets Less Liabilities--1.5% 8,195
Preferred Stock, at Redemption Value--(45.8%) (259,041)
--------
Net Assets Applicable to Common Stock--100.0% $565,863
========
* Not Rated.
+ Highest short-term rating by Moody's Investors Service, Inc.
(a) AMBAC Insured.
(b) FGIC Insured.
(c) FSA Insured.
(d) MBIA Insured.
(e) Prerefunded.
(f) The interest rate is subject to change periodically and inversely based
upon prevailing market rates. The interest rate shown is the rate in
effect at April 30, 2004.
(g) The interest rate is subject to change periodically based upon prevailing
market rates. The interest rate shown is the rate in effect at April 30,
2004.
(h) Escrowed to maturity.
(i) FHA Insured.
(j) CIFG Insured
(k) Radian Insured.
(l) Investments in companies considered to be an affiliate of the Fund (such
companies are defined as "Affiliated Companies" in Section 2(a)(3) of the
Investment Company Act of 1940) are as follows:
(in Thousands)
---------------------------------------------------------------------------
Net Dividend
Affiliate Activity Income
---------------------------------------------------------------------------
CMA New York Municipal Money Fund 6 $4
---------------------------------------------------------------------------
Forward interest rate swaps entered into as of April 30, 2004 were as
follows:
(in Thousands)
---------------------------------------------------------------------------
Notional Unrealized
Amount Appreciation
---------------------------------------------------------------------------
Receive a variable rate equal to 7-Day
Bond Market Association Municipal
Swap Index Rate and pay a fixed rate
equal to 3.412%
Broker, Morgan Stanley Capital
Services, Inc.
Expires June 2014 $83,000 $ 3,069
---------------------------------------------------------------------------
Financial futures contracts sold as of April 30, 2004 were as follows:
(in Thousands)
---------------------------------------------------------------------------
Number of Expiration Unrealized
Contracts Issue Date Face Value Gains
---------------------------------------------------------------------------
322 10-Year U.S. Treasury Notes June 2004 $35,629 $48
---------------------------------------------------------------------------
See Notes to Financial Statements.
12 MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004
Statement of Net Assets
As of April 30, 2004
=====================================================================================================================
Assets
- ---------------------------------------------------------------------------------------------------------------------
Investments in unaffiliated securities, at value (identified
cost--$796,437,824) ......................................... $ 816,658,796
Investments in affiliated securities, at value (identified
cost--$50,593) .............................................. 50,593
Cash .......................................................... 65,695
Unrealized appreciation on forward interest rate swaps ........ 3,069,174
Receivables:
Interest ................................................... $ 14,937,222
Securities sold ............................................ 3,753,321
Variation margin ........................................... 48,453 18,738,996
-------------
Prepaid expenses .............................................. 11,671
-------------
Total assets .................................................. 838,594,925
-------------
=====================================================================================================================
Liabilities
- ---------------------------------------------------------------------------------------------------------------------
Payables:
Securities purchased ....................................... 12,819,650
Investment adviser ......................................... 399,830
Dividends to Common Stock shareholders ..................... 386,418
Other affiliates ........................................... 5,820 13,611,718
-------------
Accrued expenses and other liabilities ........................ 79,054
-------------
Total liabilities ............................................. 13,690,772
-------------
=====================================================================================================================
Preferred Stock
- ---------------------------------------------------------------------------------------------------------------------
Preferred Stock, at redemption value, par value $.05 per
share (1,700 Series A Shares, 1,700 Series B Shares, 2,800
Series C Shares, 1,960 Series D Shares and 2,200 Series E
Shares of AMPS* issued and outstanding at $25,000 per
share liquidation preference) ............................... 259,040,926
-------------
=====================================================================================================================
Net Assets Applicable to Common Stock
- ---------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common Stock ......................... $ 565,863,227
=============
=====================================================================================================================
Analysis of Net Assets Applicable to Common Stock
- ---------------------------------------------------------------------------------------------------------------------
Common Stock, par value $.10 per share (39,445,962 shares
issued and outstanding) ..................................... $ 3,944,596
Paid-in capital in excess of par .............................. 557,669,466
Undistributed investment income--net .......................... $ 7,339,811
Accumulated realized capital losses on investments--net ....... (26,429,245)
Unrealized appreciation on investments--net ................... 23,338,599
-------------
Total accumulated earnings--net ............................... 4,249,165
-------------
Total--Equivalent to $14.35 net asset value per share of
Common Stock (market price--$12.53) ......................... $ 565,863,227
=============
* Auction Market Preferred Stock.
See Notes to Financial Statements.
MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004 13
[LOGO] Merrill Lynch Investment Managers
Statement of Operations
For the Six Months Ended April 30, 2004
=====================================================================================================================
Investment Income
- ---------------------------------------------------------------------------------------------------------------------
Interest ...................................................... $ 20,780,011
Dividends from affiliates ..................................... 4,133
-------------
Total income .................................................. 20,784,144
-------------
=====================================================================================================================
Expenses
- ---------------------------------------------------------------------------------------------------------------------
Investment advisory fees ...................................... $ 2,115,291
Commission fees ............................................... 325,598
Accounting services ........................................... 124,678
Transfer agent fees ........................................... 56,196
Professional fees ............................................. 28,969
Printing and shareholder reports .............................. 27,262
Custodian fees ................................................ 21,221
Listing fees .................................................. 14,410
Directors' fees and expenses .................................. 13,186
Pricing fees .................................................. 11,918
Other ......................................................... 22,492
-------------
Total expenses before reimbursement ........................... 2,761,221
Reimbursement of expenses ..................................... (3,265)
-------------
Total expenses after reimbursement ............................ 2,757,956
-------------
Investment income--net ........................................ 18,026,188
-------------
=====================================================================================================================
Realized & Unrealized Loss on Investments--Net
- ---------------------------------------------------------------------------------------------------------------------
Realized loss on investments--net ............................. (7,534,416)
Change in unrealized appreciation on investments--net ......... (11,114,720)
-------------
Total realized and unrealized loss on investments--net ........ (18,649,136)
-------------
=====================================================================================================================
Dividends to Preferred Stock Shareholders
- ---------------------------------------------------------------------------------------------------------------------
Investment income--net ........................................ (1,101,643)
-------------
Net Decrease in Net Assets Resulting from Operations .......... $ (1,724,591)
=============
See Notes to Financial Statements.
14 MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004
Statements of Changes in Net Assets
For the Six For the
Months Ended Year Ended
April 30, October 31,
Increase (Decrease) in Net Assets: 2004 2003
=====================================================================================================================
Operations
- ---------------------------------------------------------------------------------------------------------------------
Investment income--net ........................................ $ 18,026,188 $ 38,408,538
Realized gain (loss) on investments--net ...................... (7,534,416) 12,352,354
Change in unrealized appreciation on investments--net ......... (11,114,720) (15,964,533)
Dividends to Preferred Stock shareholders ..................... (1,101,643) (2,950,941)
-------------------------------
Net increase (decrease) in net assets resulting from operations (1,724,591) 31,845,418
-------------------------------
=====================================================================================================================
Dividends to Common Stock Shareholders
- ---------------------------------------------------------------------------------------------------------------------
Investment income--net ........................................ (16,437,132) (32,613,922)
-------------------------------
Net decrease in net assets resulting from dividends to Common
Stock shareholders .......................................... (16,437,132) (32,613,922)
-------------------------------
=====================================================================================================================
Net Assets Applicable to Common Stock
- ---------------------------------------------------------------------------------------------------------------------
Total decrease in net assets applicable to Common Stock ....... (18,161,723) (768,504)
Beginning of period ........................................... 584,024,950 584,793,454
-------------------------------
End of period* ................................................ $ 565,863,227 $ 584,024,950
===============================
* Undistributed investment income--net ..................... $ 7,339,811 $ 6,852,398
===============================
See Notes to Financial Statements.
MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004 15
[LOGO] Merrill Lynch Investment Managers
Financial Highlights
The following per share data and ratios have been derived For the Six
from information provided in the financial statements. Months Ended For the Year Ended October 31,
April 30, ------------------------------------------------
Increase (Decrease) in Net Asset Value: 2004 2003 2002 2001++ 2000++
==================================================================================================================================
Per Share Operating Performance
- ----------------------------------------------------------------------------------------------------------------------------------
Net asset value, beginning of period ......... $ 14.81 $ 14.83 $ 15.01 $ 13.76 $ 13.02
--------------------------------------------------------------
Investment income--net ....................... .46@@@ .97@@@ .94 .96 .87
Realized and unrealized gain (loss)
on investments--net ........................ (.47) (.09) (.19) 1.26 .90
Dividends and distributions to Preferred
Stock shareholders:
Investment income--net .................... (.03) (.07) (.10) (.20) (.25)
Realized gain on investments--net ......... -- -- --@ -- --
--------------------------------------------------------------
Total from investment operations ............. (.04) .81 .65 2.02 1.52
--------------------------------------------------------------
Less dividends and distributions to
Common Stock shareholders:
Investment income--net .................... (.42) (.83) (.83) (.77) (.78)
Realized gain on investments--net ......... -- -- --@ -- --
--------------------------------------------------------------
Total dividends and distributions to
Common Stock shareholders .................. (.42) (.83) (.83) (.77) (.78)
--------------------------------------------------------------
Net asset value, end of period ............... $ 14.35 $ 14.81 $ 14.83 $ 15.01 $ 13.76
==============================================================
Market price per share, end of period ........ $ 12.53 $ 13.25 $ 13.36 $ 14.02 $ 12.25
==============================================================
==================================================================================================================================
Total Investment Return**
- ----------------------------------------------------------------------------------------------------------------------------------
Based on market price per share .............. (2.48%)@@ 5.45% 1.24% 21.26% 5.11%
==============================================================
Based on net asset value per share ........... (.08%)@@ 6.19% 4.97% 15.57% 12.79%
==============================================================
==================================================================================================================================
Ratios Based on Average Net Assets of Common Stock
- ----------------------------------------------------------------------------------------------------------------------------------
Total expenses, net of reimbursement
and excluding reorganization
expenses*** ................................ .94%* .94% .96% .97% 1.01%
==============================================================
Total expenses, excluding reorganization
expenses*** ................................ .94%* .94% .96% .97% 1.01%
==============================================================
Total expenses*** ............................ .94%* .94% .96% .97% 1.16%
==============================================================
Total investment income--net*** .............. 6.12%* 6.49% 6.37% 6.66% 7.21%
==============================================================
Amount of dividends to Preferred Stock
shareholders ............................... .37%* .50% .66% 1.38% 1.93%
==============================================================
Investment income--net, to Common Stock
shareholders ............................... 5.75%* 5.99% 5.71% 5.28% 5.28%
==============================================================
==================================================================================================================================
Ratios Based on Average Net Assets of Common & Preferred Stock***
- ----------------------------------------------------------------------------------------------------------------------------------
Total expenses, net of reimbursement
and excluding reorganization expenses ...... .65%* .65% .66% .67% .68%
==============================================================
Total expenses, excluding reorganization
expenses*** ................................ .65%* .65% .66% .67% .68%
==============================================================
Total expenses ............................... .65%* .65% .66% .67% .78%
==============================================================
Total investment income--net ................. 4.25%* 4.51% 4.41% 4.59% 4.82%
==============================================================
==================================================================================================================================
Ratios Based on Average Net Assets of Preferred Stock
- ----------------------------------------------------------------------------------------------------------------------------------
Dividends to Preferred Stock
shareholders ............................... .85%* 1.13% 1.49% 3.07% 3.91%
==============================================================
16 MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004
Financial Highlights (concluded)
For the Six
Months Ended For the Year Ended October 31,
The following per share data and ratios have been derived April 30, ------------------------------------------------
from information provided in the financial statements. 2004 2003 2002 2001++ 2000++
==========================================================================================================================
Supplemental Data
- --------------------------------------------------------------------------------------------------------------------------
Net assets applicable to Common Stock,
end of period (in thousands) ....... $565,863 $584,025 $584,793 $591,942 $542,709
=============================================================
Preferred Stock outstanding, end of
period (in thousands) .............. $259,000 $259,000 $259,000 $259,000 $259,000
=============================================================
Portfolio turnover ................... 4.58% 51.89% 87.56% 83.08% 148.51%
=============================================================
==========================================================================================================================
Leverage
- --------------------------------------------------------------------------------------------------------------------------
Asset coverage per $1,000 ............ $ 3,185 $ 3,255 $ 3,258 $ 3,285 $ 3,095
=============================================================
==========================================================================================================================
Dividends Per Share on Preferred Stock Outstanding+
- --------------------------------------------------------------------------------------------------------------------------
Series A--Investment income--net ..... $ 115 $ 249 $ 334 $ 791 $ 980
=============================================================
Series B--Investment income--net ..... $ 96 $ 232 $ 305 $ 731 $ 941
=============================================================
Series C--Investment income--net ..... $ 101 $ 230 $ 356 $ 774 $ 661
=============================================================
Series D--Investment income--net ..... $ 105 $ 454 $ 503 $ 715 $ 634
=============================================================
Series E--Investment income--net ..... $ 115 $ 255 $ 356 $ 812 $ 653
=============================================================
* Annualized.
** Total investment returns based on market value, which can be significantly
greater or lesser than the net asset value, may result in substantially
different returns. Total investment returns exclude the effects of sales
charges.
*** Do not reflect the effect of dividends to Preferred Stock shareholders.
+ The Fund's Preferred Stock was issued on September 16, 1992 (Series A and
Series B) and March 6, 2000 (Series C, Series D and Series E).
++ Certain prior year amounts have been reclassified to conform to current
year presentation.
@ Amount is less than $(.01) per share.
@@ Aggregate total investment return.
@@@ Based on average shares outstanding.
See Notes to Financial Statements.
MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004 17
[LOGO] Merrill Lynch Investment Managers
Notes to Financial Statements
1. Significant Accounting Policies:
MuniYield New York Insured Fund, Inc. (the "Fund") is registered under the
Investment Company Act of 1940, as amended, as a non-diversified, closed-end
management investment company. The Fund's financial statements are prepared in
conformity with accounting principles generally accepted in the United States of
America, which may require the use of management accruals and estimates. Actual
results may differ from these estimates. These unaudited financial statements
reflect all adjustments, which are, in the opinion of management, necessary to a
fair statement of the results for the interim period presented. All such
adjustments are of a normal, recurring nature. The Fund determines and makes
available for publication the net asset value of its Common Stock on a weekly
basis. The Fund's Common Stock is listed on the New York Stock Exchange under
the symbol MYN. The following is a summary of significant accounting policies
followed by the Fund.
(a) Valuation of investments -- Municipal bonds are traded primarily in the
over-the-counter markets and are valued at the last available bid price in the
over-the-counter market or on the basis of yield equivalents as obtained by the
Fund's pricing service from one or more dealers that make markets in the
securities. Financial futures contracts and options thereon, which are traded on
exchanges, are valued at their closing prices as of the close of such exchanges.
Options written or purchased are valued at the last sale price in the case of
exchange-traded options. In the case of options traded in the over-the-counter
market, valuation is the last asked price (options written) or the last bid
price (options purchased). Swap agreements are valued by quoted fair values
received daily by the Fund from the counterparty. Short-term investments with a
remaining maturity of sixty days or less are valued at amortized cost, which
approximates market value. Securities and assets for which market quotations are
not readily available are valued at fair value as determined in good faith by or
under the direction of the Board of Directors of the Fund, including valuations
furnished by a pricing service retained by the Fund, which may utilize a matrix
system for valuations. The procedures of the pricing service and its valuations
are reviewed by the officers of the Fund under the general supervision of the
Board of Directors.
(b) Derivative financial instruments -- The Fund may engage in various portfolio
investment strategies both to increase the return of the Fund and to hedge, or
protect, its exposure to interest rate movements and movements in the securities
markets. Losses may arise due to changes in the value of the contract or if the
counterparty does not perform under the contract.
o Financial futures contracts -- The Fund may purchase or sell financial
futures contracts and options on such futures contracts. Futures contracts
are contracts for delayed delivery of securities at a specific future date
and at a specific price or yield. Upon entering into a contract, the Fund
deposits and maintains as collateral such initial margin as required by
the exchange on which the transaction is effected. Pursuant to the
contract, the Fund agrees to receive from or pay to the broker an amount
of cash equal to the daily fluctuation in value of the contract. Such
receipts or payments are known as variation margin and are recorded by the
Fund as unrealized gains or losses. When the contract is closed, the Fund
records a realized gain or loss equal to the difference between the value
of the contract at the time it was opened and the value at the time it was
closed.
o Options -- The Fund may write covered call options and purchase put
options. When the Fund writes an option, an amount equal to the premium
received by the Fund is reflected as an asset and an equivalent liability.
The amount of the liability is subsequently marked to market to reflect
the current market value of the option written. When a security is
purchased or sold through an exercise of an option, the related premium
paid (or received) is added to (or deducted from) the basis of the
security acquired or deducted from (or added to) the proceeds of the
security sold. When an option expires (or the Fund enters into a closing
transaction), the Fund realizes a gain or loss on the option to the extent
of the premiums received or paid (or gain or loss to the extent the cost
of the closing transaction exceeds the premium paid or received).
Written and purchased options are non-income producing investments.
o Forward interest rate swaps -- The Fund may enter into forward interest
rate swaps. In a forward interest rate swap, the Fund and the counterparty
agree to make periodic net payments on a specified notional contract
amount, commencing on a specified future effective date, unless terminated
earlier. When the agreement is closed, the Fund records a realized gain or
loss in an amount equal to the value of the agreement.
18 MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004
Notes to Financial Statements (concluded)
(c) Income taxes -- It is the Fund's policy to comply with the requirements of
the Internal Revenue Code applicable to regulated investment companies and to
distribute substantially all of its taxable income to its shareholders.
Therefore, no Federal income tax provision is required.
(d) Security transactions and investment income -- Security transactions are
recorded on the dates the transactions are entered into (the trade dates).
Realized gains and losses on security transactions are determined on the
identified cost basis. Dividend income is recorded on the ex-dividend dates.
Interest income is recognized on the accrual basis. The Fund amortizes all
premiums and discounts on debt securities.
(e) Dividends and distributions -- Dividends from net investment income are
declared and paid monthly. Distributions of capital gains are recorded on the
ex-dividend dates.
2. Investment Advisory Agreement and Transactions with Affiliates:
The Fund has entered into an Investment Advisory Agreement with Fund Asset
Management, L.P. ("FAM"). The general partner of FAM is Princeton Services, Inc.
("PSI"), an indirect, wholly-owned subsidiary of Merrill Lynch & Co., Inc. ("ML
& Co."), which is the limited partner.
FAM is responsible for the management of the Fund's portfolio and provides the
necessary personnel, facilities, equipment and certain other services necessary
to the operations of the Fund. For such services, the Fund pays a monthly fee at
an annual rate of .50% of the Fund's average weekly net assets, including
proceeds from the issuance of Preferred Stock. For the six months ended April
30, 2004, FAM reimbursed the Fund in the amount of $3,265.
For the six months ended April 30, 2004, the Fund reimbursed FAM $8,594 for
certain accounting services.
Certain officers and/or directors of the Fund are officers and/or directors of
FAM, PSI, and/or ML & Co.
3. Investments:
Purchases and sales of investments, excluding short-term securities, for the six
months ended April 30, 2004 were $109,498,421 and $35,081,128, respectively.
Net realized losses for the six months ended April 30, 2004 and net unrealized
appreciation as of April 30, 2004 were as follows:
- --------------------------------------------------------------------------------
Realized Unrealized
Losses Appreciation
- --------------------------------------------------------------------------------
Long-term investments ................... $ (111,671) $20,220,972
Forward interest rate swaps ............. (7,422,745) 3,069,174
Financial futures contracts ............. -- 48,453
-------------------------------
Total ................................... $(7,534,416) $23,338,599
===============================
As of April 30, 2004, net unrealized appreciation for Federal income tax
purposes aggregated $20,036,725, of which $28,371,989 related to appreciated
securities and $8,335,264 related to depreciated securities. The aggregate cost
of investments at April 30, 2004 for Federal income tax purposes was
$796,672,664.
4. Stock Transactions:
The Fund is authorized to issue 200,000,000 shares of stock, including Preferred
Stock, par value $.10 per share, all of which were initially classified as
Common Stock. The Board of Directors is authorized, however, to reclassify any
unissued shares of stock without approval of the holders of Common Stock.
Preferred Stock
Auction Market Preferred Stock are redeemable shares of Preferred Stock of the
Fund, with a par value of $.05 per share and a liquidation preference of $25,000
per share, plus accrued and unpaid dividends, that entitle their holders to
receive cash dividends at an annual rate that may vary for the successive
dividend periods. The yields in effect at April 30, 2004 were as follows: Series
A, .83% ; Series B, .97% ; Series C, 1.02% ; Series D, 1.02% ; and Series E,
..94%.
The Fund pays commissions to certain broker-dealers at the end of each auction
at an annual rate ranging from .25% to .375%, calculated on the proceeds of each
auction. For the six months ended April 30, 2004, Merrill Lynch, Pierce, Fenner
& Smith Incorporated, an affiliate of FAM, earned $122,081 as commissions.
5. Capital Loss Carryforward:
On October 31, 2003, the Fund had a net capital loss carryforward of
$11,573,650, of which $8,566,493 expires in 2008 and $3,007,157 expires in 2010.
This amount will be available to offset like amounts of any future taxable
gains.
6. Subsequent Event:
The Fund paid a tax-exempt income dividend to holders of Common Stock in the
amount of $.070000 per share on May 27, 2004 to shareholders of record on May
14, 2004.
MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004 19
[LOGO] Merrill Lynch Investment Managers
Dividend Policy
The Fund's dividend policy is to distribute all or a portion of its net
investment income to its shareholders on a monthly basis. In order to provide
shareholders with a more stable level of dividend distributions, the Fund may at
times pay out less than the entire amount of net investment income earned in any
particular month and may at times in any month pay out such accumulated but
undistributed income in addition to net investment income earned in that month.
As a result, the dividends paid by the Fund for any particular month may be more
or less than the amount of net investment income earned by the Fund during such
month. The Fund's current accumulated but undistributed net investment income,
if any, is disclosed in the Statement of Net Assets, which comprises part of the
financial information included in this report.
Proxy Results
During the six-month period ended April 30, 2004, MuniYield New York Insured
Fund, Inc.'s Common Stock shareholders voted on the following proposal. The
proposal was approved at a shareholders' meeting on April 27, 2004. A
description of the proposal and number of shares voted are as follows:
- ---------------------------------------------------------------------------------------------------------
Shares Voted Shares Withheld
For From Voting
- ---------------------------------------------------------------------------------------------------------
1. To elect the Fund's Directors: James H. Bodurtha 36,599,747 844,769
Joe Grills 36,597,466 847,050
Roberta Cooper Ramo 36,603,362 841,154
Robert S. Salomon, Jr. 36,599,728 844,788
Stephen B. Swensrud 36,596,981 847,535
- ---------------------------------------------------------------------------------------------------------
During the six-month period ended April 30, 2004, MuniYield New York Insured
Fund, Inc.'s Preferred Stock shareholders (Series A - E) voted on the following
proposal. The proposal was approved at a shareholders' meeting on April 27,
2004. A description of the proposal and number of shares voted are as follows:
- ---------------------------------------------------------------------------------------------------------
Shares Voted Shares Withheld
For From Voting
- ---------------------------------------------------------------------------------------------------------
1. To elect the Fund's Board of Directors:
James H. Bodurtha, Joe Grills, Herbert I. London, Andre F. Perold,
Roberta Cooper Ramo, Robert S. Salomon, Jr. and Stephen B. Swensrud 10,230 21
- ---------------------------------------------------------------------------------------------------------
20 MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004
Quality Profile
The quality ratings of securities in the Fund as of April 30, 2004 were as
follows:
- --------------------------------------------------------------------------------
Percent of
S&P Rating/Moody's Rating Total Investments
- --------------------------------------------------------------------------------
AAA/Aaa ................................................. 83.3%
AA/Aa ................................................... 3.2
A/A ..................................................... 7.2
BBB/Baa ................................................. 2.9
C/C ..................................................... 0.1
NR (Not Rated) .......................................... --*
Other** ................................................. 3.3
- --------------------------------------------------------------------------------
* Holdings are less than 0.1%.
** Temporary investments in short-term variable rate municipal securities.
MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004 21
[LOGO] Merrill Lynch Investment Managers
Officers and Directors
Terry K. Glenn, President and Director
James H. Bodurtha, Director
Joe Grills, Director
Herbert I. London, Director
Andre F. Perold, Director
Roberta Cooper Ramo, Director
Robert S. Salomon, Jr., Director
Stephen B. Swensrud, Director
Kenneth A. Jacob, Senior Vice President
John M. Loffredo, Senior Vice President
Walter C. O'Connor, Vice President
Robert D. Sneeden, Vice President
Donald C. Burke, Vice President and Treasurer
Phillip S. Gillespie, Secretary
Custodian
The Bank of New York
100 Church Street
New York, NY 10286
Transfer Agents
Common Stock:
The Bank of New York
101 Barclay Street
New York, NY 10286
Preferred Stock:
The Bank of New York
101 Barclay Street -- 7 West
New York, NY 10286
NYSE Symbol
MYN
22 MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004
Electronic Delivery
The Fund offers electronic delivery of communications to its shareholders. In
order to receive this service, you must register your account and provide us
with e-mail information. To sign up for this service, simply access this website
http://www.icsdelivery.com/live and follow the instructions. When you visit this
site, you will obtain a personal identification number (PIN). You will need this
PIN should you wish to update your e-mail address, choose to discontinue this
service and/or make any other changes to the service. This service is not
available for certain retirement accounts at this time.
MUNIYIELD NEW YORK INSURED FUND, INC. APRIL 30, 2004 23
[LOGO] Merrill Lynch Investment Managers www.mlim.ml.com
MuniYield New York Insured Fund, Inc. seeks to provide shareholders with as high
a level of current income exempt from Federal income tax and New York State and
New York City personal income taxes as is consistent with its investment
policies and prudent investment management by investing primarily in a portfolio
of long-term municipal obligations the interest on which, in the opinion of bond
counsel to the issuer, is exempt from Federal income tax and New York State and
New York City personal income taxes.
This report, including the financial information herein, is transmitted to
shareholders of MuniYield New York Insured Fund, Inc. for their information. It
is not a prospectus. Past performance results shown in this report should not be
considered a representation of future performance. The Fund has leveraged its
Common Stock and intends to remain leveraged by issuing Preferred Stock to
provide the Common Stock shareholders with a potentially higher rate of return.
Leverage creates risks for Common Stock shareholders, including the likelihood
of greater volatility of net asset value and market price of shares of the
Common Stock, and the risk that fluctuations in the short-term dividend rates of
the Preferred Stock may affect the yield to Common Stock shareholders.
Statements and other information herein are as dated and are subject to change.
A description of the policies and procedures that the Fund uses to determine how
to vote proxies relating to portfolio securities is available (1) without
charge, upon request, by calling toll-free 1-800-MER-FUND (1-800-637-3863); (2)
on www.mutualfunds.ml.com; and (3) on the Securities and Exchange Commission's
website at http://www.sec.gov.
MuniYield New York Insured Fund, Inc.
Box 9011
Princeton, NJ
08543-9011
#16159 -- 4/04
Item 2 - Code of Ethics - Not Applicable to this semi-annual report
Item 3 - Audit Committee Financial Expert - Not Applicable to this semi-annual
report
Item 4 - Principal Accountant Fees and Services - Not Applicable to this
semi-annual report
Item 5 - Audit Committee of Listed Registrants - Not Applicable to this
semi-annual report
Item 6 - Schedule of Investments - Not Applicable
Item 7 - Disclosure of Proxy Voting Policies and Procedures for Closed-End
Management Investment Companies - Not Applicable to this semi-annual
report
Item 8 - Purchases of Equity Securities by Closed-End Management Investment
Company and Affiliated Purchasers - Not Applicable
Item 9 - Submission of Matters to a Vote of Security Holders - Not Applicable
Item 10 - Controls and Procedures
10(a) - The registrant's certifying officers have reasonably designed such
disclosure controls and procedures to ensure material information
relating to the registrant is made known to us by others particularly
during the period in which this report is being prepared. The
registrant's certifying officers have determined that the registrant's
disclosure controls and procedures are effective based on our evaluation
of these controls and procedures as of a date within 90 days prior to
the filing date of this report.
10(b) - There were no changes in the registrant's internal control over
financial reporting (as defined in Rule 30a-3(d) under the Act (17 CFR
270.30a-3(d)) that occurred during the last fiscal half-year of the
period covered by this report that has materially affected, or is
reasonably likely to materially affect, the registrant's internal
control over financial reporting.
Item 11 - Exhibits attached hereto
11(a)(1) - Code of Ethics - Not Applicable to this semi-annual report
11(a)(2) - Certifications - Attached hereto
11(a)(3) - Not Applicable
11(b) - Certifications - Attached hereto
Pursuant to the requirements of the Securities Exchange Act of 1934 and
the Investment Company Act of 1940, the registrant has duly caused this
report to be signed on its behalf by the undersigned, thereunto duly
authorized.
MuniYield New York Insured Fund, Inc.
By: /s/ Terry K. Glenn
-------------------------------------
Terry K. Glenn,
President of
MuniYield New York Insured Fund, Inc.
Date: June 18, 2004
Pursuant to the requirements of the Securities Exchange Act of 1934 and
the Investment Company Act of 1940, this report has been signed below by
the following persons on behalf of the registrant and in the capacities
and on the dates indicated.
By: /s/ Terry K. Glenn
-------------------------------------
Terry K. Glenn,
President of
MuniYield New York Insured Fund, Inc.
Date: June 18, 2004
By: /s/ Donald C. Burke
-------------------------------------
Donald C. Burke,
Chief Financial Officer of
MuniYield New York Insured Fund, Inc.
Date: June 18, 2004