Company: AIZ
Filing Date: 2025-02-20
Form Type: 10-K
Source: 0001267238-25-000008
Chunk: 29

Company: ASSURANT, INC.
Filing Date: 2025-02-20
Form: 10-K
Item: Item 1
Chunk 29
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 intercompany transactions, changes of control, certain dividend payments and certain transfers of assets between the companies within the holding company system are subject to prior notice to, or approval by, regulatory authorities in such states and territories.

We are licensed to sell insurance through our insurance subsidiaries in all 50 states, Puerto Rico and the District of Columbia. Like all U.S. insurance companies, our insurance subsidiaries are subject to regulation and supervision in the jurisdictions where they do business. In general, these regulations are designed to protect the interests of policyholders, and not necessarily the interests of shareholders and other investors. To that end, the laws of the various jurisdictions establish insurance departments with broad powers with respect to such things as:

•licensing; 

•capital, surplus and dividends;  

•underwriting requirements and limitations (including, in some cases, minimum or target loss ratios); 

•entrance into and exit from markets;

•introduction, cancellation and termination of certain coverages; 

•statutory accounting and annual statement disclosure requirements; 

•product types, policy forms and mandated insurance benefits; 

•premium rates; 

•fines, penalties and assessments; 

•claims practices, including occasional regulatory requirements to pay claims on terms other than those mandated by underlying policy contracts; 

•transactions between affiliates; 

•the form and content of disclosures to consumers; 

•the type, amounts and valuation of investments; 

•annual tests of solvency and reserve adequacy; 

•assessments or other surcharges for guaranty funds and the recovery of assessments through premium increases; and  

•market conduct and sales practices of insurers and agents.

14

Risk-Based Capital Requirements. In order to enhance the regulation of insurer solvency, the National Association of Insurance Commissioners (the “NAIC”) has established certain risk-based capital (“RBC”) standards applicable to life, health and property and casualty insurers. RBC, which regulators use to assess the sufficiency of an insurer’s statutory capital, is calculated by applying factors to various asset, premium, expense, liability and reserve items. Factors are higher for items that the NAIC views as having greater underlying risk. The NAIC periodically reviews the RBC formula and changes to the formula could occur in the future. 

Investment Regulation. Insurance company investments must comply with applicable laws and regulations that govern the kind, quality and concentration of investments made by insurance companies. These regulations require diversification of insurance company investment portfolios and limit the amount of investments in certain asset categories.

Products and Coverage