reglab/statecodes huggingface dataset:
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 6 - Reinsurance › 3 AAC 21.662 - Asset or reduction from liability

Current through May 31, 2024
(a) Under AS
				  21.12.020(c), the director shall allow a reduction from liability for
				  reinsurance ceded by a domestic insurer to an assuming insurer not meeting the
				  requirements of AS 21.12.020(a) in an amount not exceeding the liabilities
				  carried by the ceding insurer. The reduction shall be in the amount of funds
				  held by or on behalf of the ceding insurer, including funds held in trust for
				  the exclusive benefit of the ceding insurer, under a reinsurance contract with
				  such assuming insurer as security for the payment of obligations under the
				  reinsurance contract. The security shall be held in the United States subject
				  to withdrawal solely by, and under the exclusive control of, the ceding insurer
				  or, in the case of a trust, held in a qualified United States financial
				  institution as defined in AS 21.12.020(c)(3)(A) - (C). This security may be in
				  the form of any of the following
(1) cash;
(2) securities listed by the
				  Securities Valuation Office of the National Association of Insurance
				  Commissioners, including those deemed exempt from filing as defined by the
				  Purposes and Procedures Manual of the Securities Valuation Office of the
				  National Association of Insurance Commissioners, and qualifying as admitted
				  assets;
(3) clean, irrevocable,
				  unconditional, and "evergreen" letters of credit issued or confirmed by a
				  qualified United States institution, as defined in AS 21.12.020(c)(3),
				  effective no later than December 31 of the year for which filing is being made,
				  and in the possession of, or in trust for, the ceding insurer on or before the
				  filing date of its annual statement. Letters of credit meeting applicable
				  standards of issuer acceptability as of the dates of their issuance, or
				  confirmation will notwithstanding the issuing or confirming institution 's
				  subsequent failure to meet applicable standards of issuer acceptability,
				  continue to be acceptable as security until their expiration, extension,
				  renewal, modification, or amendment, whichever first occurs; or
(4) any other form of security acceptable to
				  the director.
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 6 - Reinsurance › 3 AAC 21.670 - Conditions permitted for an unauthorized assuming insurer

Current through May 31, 2024
(a) In addition
				  to meeting the requirements under
				  3 AAC 21.665, a trust agreement for a trust fund
				  maintained by an unauthorized assuming insurer may provide that
(1) the trustee may resign upon delivery of a
				  written notice of resignation, effective not less than 90 days after the notice
				  is received by the beneficiary and grantor, or the trustee may be removed by
				  the grantor upon delivery of a written notice of removal, effective not less
				  than 90 days after the notice is received by the trustee and the beneficiary,
				  but a resignation or removal under this paragraph may not be effective until a
				  successor trustee has been approved and duly appointed by the beneficiary and
				  the grantor and all assets in the trust fund have been duly transferred to the
				  new trustee;
(2) the beneficiary
				  may at any time designate a party to whom all or part of the trust assets are
				  to be transferred; the transfer may be conditioned upon the trustee receiving,
				  before or simultaneously with the transfer, other specified assets;
(3) before depositing an asset with the
				  trustee, the grantor must execute an assignment or endorsement in blank or
				  transfer legal title to the trustee of each share, obligation, or other asset
				  requiring assignment, so the beneficiary or the trustee, upon the direction of
				  the beneficiary, may negotiate the asset without further consent or signature
				  of the grantor or any other entity;
(4) all assets not previously withdrawn by
				  the beneficiary, upon termination of the trust fund and written approval of the
				  beneficiary, will be delivered to the grantor; and
(5) specific types of investments allowed by
				  law are to be deposited in the trust fund.
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 6 - Reinsurance › 3 AAC 21.675 - Letter of credit provisions for an unauthorized assuming insurer

Current through May 31, 2024
(a) The letter
				  of credit securing credit for reinsurance with an unauthorized assuming insurer
				  must
(1) contain an issue date and date of
				  expiration and stipulate that the ceding insurer need only draw a sight draft
				  under the letter of credit and present it without other documentation to obtain
				  funds;
(2) state that it is not
				  subject to any condition or qualification outside of the letter of credit,
				  except as provided in
				  3 AAC 21.600 -
				  3 AAC 21.695;
(3) contain no reference to any other
				  agreement, document, or entity, except as provided in
				  3 AAC 21.600 -
				  3 AAC 21.695;
(4) state that the obligation of the
				  qualified United States financial institution under the letter of credit is not
				  contingent upon reimbursement;
(5)
				  be for a term of no less than one year;
(6) contain an evergreen clause that provides
				  for no less than 30 days notice of nonrenewal before the renewal date;
				  and
(7) state that the letter of
				  credit is governed by the laws of this state and that all drafts drawn will be
				  presentable at an office in the United States of a qualified United States
				  financial institution.
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 6 - Reinsurance › 3 AAC 21.680 - Reinsurance agreement secured by a letter of credit

Current through May 31, 2024
(a) If a
				  reinsurance agreement between a ceding insurer and an unauthorized assuming
				  insurer is secured by a letter of credit, the reinsurance agreement, to the
				  extent allowable by law, may provide that the ceding insurer may draw upon the
				  letter of credit under the terms of the reinsurance agreement at any time. The
				  ceding insurer or its successors in interest, without diminution because of
				  insolvency on the part of the ceding insurer or unauthorized assuming insurer,
				  may use a draw on the letter of credit only for
(1) reimbursing the ceding insurer for the
				  unauthorized assuming insurer's share of premiums returned because of
				  cancellation to the owners of policies reinsured under the reinsurance
				  agreement;
(2) reimbursing the
				  ceding insurer for the unauthorized assuming insurer's share of surrenders paid
				  by the ceding insurer under the terms and provisions of the policies reinsured
				  under the reinsurance agreement;
(3) reimbursing the ceding insurer for the
				  unauthorized assuming insurer's share of benefits or losses paid by the ceding
				  insurer under the terms and provisions of the policies reinsured under the
				  reinsurance agreement; or
(4)
				  paying other amounts necessary to secure the credit or reduction from liability
				  taken by the ceding insurer under the reinsurance agreement.
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 6 - Reinsurance › 3 AAC 21.685 - Other security for an unauthorized assuming insurer

Current through May 31, 2024
Credit for reinsurance with an unauthorized assuming
					 insurer may be secured by unencumbered funds withheld from the unauthorized
					 assuming insurer by the ceding insurer and maintained in the United States,
					 subject to withdrawal solely by the ceding insurer and under its exclusive
					 control.
Authority:
AS
						21.06.090
AS
						21.12.020
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 6 - Reinsurance › 3 AAC 21.690 - Contract affected

Current through May 31, 2024
A new or renewal reinsurance transaction entered into after
					 December 31, 1994 must conform to the requirements under
					 3 AAC 21.600 -
					 3 AAC 21.695 if credit is taken by the ceding insurer of
					 the reinsurance transaction, but a trust agreement, letter of credit, or
					 underlying reinsurance agreement that exists before January 1, 1995 will be
					 acceptable in this state until December 31, 1995, at which time the agreement
					 must comply fully with the requirements under
					 3 AAC 21.600 -
					 3 AAC 21.695.
Authority:
AS
						21.06.090
AS
						21.12.020
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 6 - Reinsurance › 3 AAC 21.693 - Liabilities

Current through May 31, 2024
For purposes of
					 3 AAC 21.600 -
					 3 AAC 21.695, liabilities are the assuming insurer's
					 gross obligations that are attributable to reinsurance ceded by United States
					 domiciled insurers, and that are not otherwise secured to the ceding insurer by
					 the types of collateralization listed in
					 AS
					 21.12.020(c). Liabilities
					 must include
(1) for business ceded by
				  domestic insurers authorized to write accident and health insurance or property
				  and casualty insurance,
(A) losses and
				  allocated loss expenses paid by the ceding insurer recoverable from the
				  assuming insurer;
(B) reserves for
				  losses reported and outstanding;
(C) reserves for losses incurred but not
				  reported;
(D) reserves for
				  allocated loss expenses; and
(E)
				  unearned premiums;
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 6 - Reinsurance › 3 AAC 21.695 - Definitions

Current through May 31, 2024
In
					 3 AAC 21.600 - 3 AAC 21.695, unless the context requires otherwise,
(1) "as of date" means a specific measurement
				  date for a set of statutory financial statements;
(2) "authorized assuming insurer" means an
				  assuming insurer that meets the requirements of
				  AS
				  21.12.020(a);
(3) "beneficiary" means a ceding insurer for
				  whose sole benefit a trust or letter of credit has been established or a
				  successor in interest of the ceding insurer by operation of law, including,
				  without limitation, a liquidator, rehabilitator, receiver, or conservator of
				  the ceding insurer;
(4) "deficiency
				  reserves" means a supplemental reserve that a life insurer is required to show
				  in the life insurer's balance sheet if the gross premium charged on a class of
				  those insured is less than the net level premium reserve or modified
				  reserve;
(5) "excess interest
				  reserve" means a supplemental reserve for interest credited to an insured's
				  contract in excess of the amount guaranteed by the terms of the
				  contract;
(6) "grantor" means an
				  assuming insurer that has established a trust for the sole benefit of a
				  beneficiary;
(7) "negative
				  experience" means the condition that results from a contract of reinsurance
				  before its termination date when, considering only the cash flows under that
				  contract adjusted for the time value of money using the discount factor
				  inherent in the contract, the total amount paid out by the reinsurer in losses,
				  commission, and expense allowance exceeds the amount the reinsurer has received
				  in premiums from the ceding company;
(8) "obligation" means
(A) a reinsured loss or allocated loss
				  expense paid by the ceding company, but not recovered from the assuming
				  insurer;
(B) a reserve for a
				  reinsured loss reported and outstanding;
(C) a reserve for a reinsured loss incurred
				  but not reported; or
(D) a reserve
				  for an allocated reinsured loss expense or unearned premium;
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.700 - Financial Examination

Current through May 31, 2024
The director will make a determination as to the financial
					 condition of each non-domestic admitted insurer by conducting an examination
					 under AS
					 21.06.120 at least once every five
					 years.
Authority:
AS
						21.06.090
AS 21.06.120
AS
						21.09.175
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.705 - Annual audit of financial statements

Current through May 31, 2024
(a) Except as
				  provided in (b) and (c) of this section, the filing requirement of
				  AS
				  21.09.200(g) constitutes a
				  financial or organizational hardship on an insurer, and the insurer is exempt
				  from the filing requirement if
(1) direct
				  premiums written in the state are less than $1,000,000 as reported in the most
				  recent calendar year; and
(2) the
				  number of policyholders or certificate holders of direct written policies
				  nationwide at the end of the most recent calendar year is less than
				  1,000.
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.710 - Requirements regarding contents and filing of annual audited financial report

Current through May 31, 2024
(a) The director may extend the due date of
				  the annual audited financial report for 30-day periods if the insurer and its
				  independent certified public accountant submit a request that gives the reasons
				  for needing an extension and the director determines there is good cause to
				  grant an extension. The request for extension must be submitted in writing not
				  fewer than 10 days before the due date of the report and in sufficient detail
				  to permit the director to make an informed decision with respect to the
				  requested extension. If the director grants an extension, a similar extension
				  is also granted for the filing of management's report of internal control over
				  financial reporting.
Authority:
AS
						21.06.060
AS
						21.06.090
AS
						21.09.200
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.715 - Designation of independent certified public accountant

Current through May 31, 2024
(a) Within 60 days
				  after the director notifies an insurer that the insurer is required to file an
				  annual audited financial report, the insurer shall submit in writing to the
				  director the name and address of the independent certified public accountant or
				  accounting firm retained to conduct the annual audit.
(b) An insurer shall obtain a letter from the
				  retained accountant that states that the accountant is aware of the provisions
				  of the law of this state that relate to accounting and financial matters and
				  affirms that the accountant will express the opinion on the financial
				  statements in terms of their conformity with accounting practices prescribed or
				  otherwise permitted by the insurance regulatory official of the state of
				  domicile and that specifies exceptions that the accountant believes are
				  appropriate. The insurer shall file a copy of the letter with the
				  director.
(c) If the accountant who
				  issued the last filed annual audited financial report is dismissed or resigns,
				  the insurer shall notify the director within five working days after the date
				  of the dismissal or resignation. Within 10 working days after the notification,
				  the insurer shall furnish the director with a separate letter stating whether,
				  in the two years preceding the date of the dismissal or resignation, any
				  disagreements arose with the former accountant on any matter of accounting
				  principles or practices, financial statement disclosure, or auditing scope or
				  procedure, and whether those disagreements, if not resolved to the satisfaction
				  of the former accountant, would have caused the accountant to reference the
				  subject matter of the disagreement in connection with the accountant's opinion.
				  The disagreements that must be reported include those resolved to the former
				  accountant's satisfaction and those not resolved to the former accountant's
				  satisfaction and are disagreements that occurred at the decision-making level
				  between personnel of the insurer responsible for presentation of its financial
				  statements and personnel of the accountant responsible for issuing the audited
				  financial report. The insurer shall request in writing that the former
				  accountant furnish a letter addressed to the insurer stating whether the
				  accountant agrees with the statements contained in the insurer's letter and, if
				  not, stating the reasons why the accountant disagrees. The insurer shall
				  furnish to the director the former accountant's letter together with the
				  insurer's letter.
Authority:
AS
						21.06.060
AS 21.06.090
AS
						21.09.200
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.720 - Qualifications of qualified independent certified public accountant

Current through May 31, 2024
(a) The director will not recognize a person
				  or firm as a qualified independent certified public accountant if the person or
				  firm
(1) is not in good standing with the
				  American Institute of Certified Public Accountants and in each state in which
				  the person or firm is licensed to practice;
(2) if a Canadian or British firm, is not a
				  chartered accountant; or
(3) has
				  either directly or indirectly entered into an agreement of indemnity or release
				  from liability with respect to the audit of the insurer.
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.725 - Consolidated or combined audits

Current through May 31, 2024
An insurer may apply in writing to the director for
					 approval to file consolidated or combined audited financial statements instead
					 of separate audited financial statements if the insurer is part of a group of
					 insurance companies that uses a pooling or 100 percent reinsurance agreement
					 that affects the solvency and integrity of the insurer's reserves and the
					 insurer cedes all of its direct and assumed business to the pool. If approval
					 is granted, a columnar consolidating or combining worksheet must be filed with
					 the annual audited financial report showing
(1) the amounts in the consolidated or
				  combined audited financial statements;
(2) the amounts for each insurer consolidated
				  or combined in the audited financial statements;
(3) non-insurance operations combined or
				  reported individually;
(4) an
				  explanation of consolidating and eliminating entries; and
(5) a reconciliation of any differences
				  between the amounts shown in the individual insurer columns of the worksheet
				  and comparable amounts shown in the annual statements of the insurers filed
				  under AS
				  21.09.200(a).
Authority:
AS
						21.06.060
AS 21.06.090
AS
						21.09.200
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.730 - Scope of audit and report of independent certified public accountant

Current through May 31, 2024
The audit of the insurer's financial statement must be
					 conducted in accordance with generally accepted auditing standards and include
					 an understanding of internal control sufficient to plan the audit. For those
					 insurers required to file a report of internal control over financial
					 reporting, the independent certified public accountant shall consider the most
					 recently available report in planning and performing the audit of the financial
					 statements. To the extent the independent certified public accountant deems
					 necessary, consideration shall be given to the procedures in the National
					 Association of Insurance Commissioners'
Financial Condition Examiners
					 Handbook
.
Authority:
AS
						21.06.060
AS 21.06.090
AS 21.06.140
AS
						21.09.200
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.735 - Notification of adverse financial condition

Current through May 31, 2024
(a) The
				  notification requirements of the independent certified public accountant and
				  the insurer under
				  AS
				  21.09.200 (
l
) must be
				  completed within five working days after the determination or notice of
				  determination.
(b) If an
				  independent certified public accountant becomes aware of facts after the filing
				  date of the annual audited financial report that might have affected the
				  report, the independent certified public accountant shall take action as
				  prescribed in the American Institute of Certified Public Accountants'
AU Section 561: Subsequent Discovery of Facts Existing at the Date of
				  the Auditor's Report
, dated July 9, 2007 and adopted by
				  reference.
The American Institute of Certified Public Accountants'
						AU Section 561: Subsequent Discovery of Facts Existing at the Date of the
						Auditor's Report, dated July 9, 2007, may be obtained from the American
						Institute of Certified Public Accountants' website at
						http://www.aicpa.org.
Authority:
AS
						21.06.060
AS 21.06.090
AS
						21.09.200
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.740 - Communication of internal control related matters noted in an audit

Current through May 31, 2024
(a) The
				  report on any unremediated material weakness in internal control over financial
				  reporting required under
				  AS
				  21.09.200(h) must describe
				  each unremediated material weakness noted by the independent certified public
				  accountant during the course of the audit of the financial statements that
				  existed as of the immediately preceding December 31 to coincide with the last
				  filed annual audited financial report.
(b) The report required under
				  AS
				  21.09.200(h) must include a
				  description of the insurer's remedial actions taken or proposed to correct each
				  unremediated material weakness if the insurer's actions have not been described
				  in the accountant's report.
(c) If
				  the audit does not note any unremediated material weaknesses in internal
				  control over financial reporting that are required to be reported under
				  AS
				  21.09.200(h), the insurer
				  shall file a statement to that effect with the director or the director's
				  designee.
Authority:
AS
						21.06.060
AS 21.06.090
AS
						21.09.200
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.745 - Accountant's letter of qualifications

Current through May 31, 2024
The independent certified public accountant shall furnish
					 to the insurer for submission with the annual audited financial report a letter
					 stating
(1) that the accountant is
				  independent with respect to the insurer and conforms to the standards of the
				  accountant's profession as contained in
(A)
				  the
Code of Professional Conduct
and pronouncements of the
				  American Institute of Certified Public Accountants; and
(B) rules of professional conduct adopted by
				  the board of public accountancy of the state in which the certified public
				  accountant is licensed;
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.750 - Work papers

Current through May 31, 2024
(a) An insurer required to file an annual
				  audited financial report under
				  AS
				  21.09.200(g) shall require
				  the accountant to make available for review by division examiners all work
				  papers prepared in the conduct of the accountant's audit and all communications
				  related to the audit between the accountant and the insurer at the offices of
				  the insurer, at the division, or at any other reasonable place designated by
				  the director. The insurer shall require that the accountant retain the audit
				  work papers and communications until the division has filed a report on
				  examination covering the period of the audit but no longer than seven years
				  after the filing date of the annual audited financial report.
(b) In a review by division examiners in the
				  course of a division examination, the division may make and retain photocopies
				  of audit work papers. Work papers and communications obtained during the course
				  of an examination will be considered examination work papers of the division
				  under AS
				  21.06.150.
(c) In this section, "work papers"
(1) means the records kept by the independent
				  certified public accountant of the procedures followed, the tests performed,
				  the information obtained, and the conclusions reached pertinent to the
				  accountant's audit of the financial statements of an insurer; and
(2) includes audit planning documentation,
				  work programs, analysis, memoranda, letters of confirmation and representation,
				  abstracts of company documents, and schedules or commentaries prepared or
				  obtained by the independent certified public accountant in the course of the
				  audit of the financial statements of an insurer and that support the
				  accountant's opinion.
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.755 - Conduct of an insurer in connection with the preparation of required reports and documents

Current through May 31, 2024
Actions prohibited under
					 AS
					 21.36.060 include actions taken to coerce,
					 manipulate, mislead, or fraudulently influence an accountant
(1) to issue or reissue a report on an
				  insurer's financial statement that is not warranted due to material violations
				  of accounting practices prescribed, or otherwise permitted, by
(A) the insurance regulatory official of the
				  state of domicile;
(B) generally
				  accepted auditing standards; or
(C)
				  other professional or regulatory standards;
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.760 - Exemptions

Current through May 31, 2024
Upon written application by an insurer, the director may
					 grant an exemption from compliance with
					 3 AAC 21.705 -
					 3 AAC 21.799 if, after review of the application, the
					 director finds that compliance with
					 3 AAC 21.705 -
					 3 AAC 21.799 would be a financial or organizational
					 hardship for the insurer. The director will only consider an application for an
					 exemption under this section if
					 3 AAC 21.705(a) does not provide an
					 exemption to the insurer. The director may grant an exemption under this
					 section at any time and for a specific period. Within 10 days after an insurer
					 receives notification of the director's denial of the insurer's request for
					 exemption, the insurer may request in writing a hearing on the denial. The
					 hearing will be held under
					 AS
					 21.06.170-21.06.230.
Authority:
AS
						21.06.060
AS 21.06.090
AS
						21.09.200
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.765 - Canadian and British insurers

Current through May 31, 2024
(a) For a Canadian
				  or British insurer, the annual audited financial report required under
				  AS
				  21.09.200(g) is the annual
				  statement of total business on the form filed by the insurer with its
				  supervisory authority duly audited by an independent chartered
				  accountant.
(b) For a Canadian or
				  British insurer, the letter required under
				  3 AAC 21.715(b) must state that the
				  accountant is aware of the requirements relating to the annual audited
				  financial report filed with the director or the director's designee under
				  AS
				  21.09.200(g) and must affirm
				  that the opinion expressed conforms with those requirements.
Authority:
AS
						21.06.060
AS 21.06.090
AS
						21.09.200
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.770 - Audit committee

Current through May 31, 2024
(a) The audit committee of an entity that
(1) controls an insurer may be the insurer's
				  audit committee required under
				  AS
				  21.09.200 at the election of the controlling
				  person; or
(2) controls a group of
				  insurers may be the audit committee required under
				  AS
				  21.09.200 for one or more of the controlled
				  insurers at the election of the controlling person.
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.775 - Management's report of internal control over financial reporting

Current through May 31, 2024
(a) An
				  insurer that is required to file an annual audited financial report, and that
				  has annual direct written and assumed premium of $500,000,000 or more as
				  reported in the last annual financial statement filed under
				  AS
				  21.09.200(a), excluding
				  premiums reinsured with the Federal Crop Insurance Corporation established
				  under 7 U.S.C.
				  1501 -
				  1524 and the national flood
				  insurance program established under
				  42 U.S.C.
				  4001 -
				  4129, shall prepare a report of
				  the insurer's or group of insurers' internal control over financial reporting.
				  The report must be filed with the report required in
				  3 AAC 21.740 on unremediated material weakness in
				  internal control over financial reporting, and both reports must be as of the
				  immediately preceding December 31.
(b) Notwithstanding (a) of this section, the
				  director may require an insurer to file the report of internal control over
				  financial reporting if the insurer
(1) is in
				  a level event as defined in
				  AS
				  21.14.200; or
(2) meets one or more of the standards in
				  3 AAC 21.510 for impairment.
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.780 - Internal audit function requirements

Current through May 31, 2024
(a) An insurer is
				  exempt from the requirements of this section if the insurer
(1) has annual direct written and
				  unaffiliated assumed premium, including international direct and assumed
				  premium but excluding premiums reinsured with the Federal Crop Insurance
				  Corporation and Federal Flood Program, less than $500,000,000; and,
(2) is a member of a group of insurers and
				  the group has annual direct written and unaffiliated assumed premium including
				  international direct and assumed premium, but excluding premiums reinsured with
				  the Federal Crop Insurance Corporation and Federal Flood Program, less than
				  $1,000,000,000.
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.790 - Contents of corporate governance annual disclosure

Current through May 31, 2024
(a) The insurer or
				  insurance group shall be as descriptive as possible in completing the corporate
				  governance annual disclosure, with inclusion of attachments or example
				  documents that are used in the governance process.
(b) The corporate governance annual
				  disclosure must describe the insurer or insurance group's corporate governance
				  framework and structure including consideration of the following
(1) the board of directors and any committees
				  of the board ultimately responsible for overseeing the insurer or insurance
				  group and the level at which that oversight occurs (e.g., ultimate control
				  level, intermediate holding company, legal entity, etc.) the disclosure shall
				  describe and discuss the rationale for the current board size and structure;
				  and
(2) the duties of the board
				  and each of its significant committees and how they are governed (e.g., bylaws,
				  charters, informal mandates,.), how the board's leadership is structured, and a
				  discussion of the roles of chief executive officer and chairman of the board
				  within the organization.
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 7 - Financial Examination of and Annual Audit Reporting Requirements for Admitted Insurers › 3 AAC 21.799 - Definitions

Current through May 31, 2024
In
					 3 AAC 21.705 - 3 AAC 21.799, unless the context requires
					 otherwise,
(1) "accountant" or
				  "independent certified public accountant" means an independent certified public
				  accountant or accounting firm in good standing with the American Institute of
				  Certified Public Accountants and in all states in which the accountant is
				  licensed to practice; for a Canadian or British company, "accountant" or
				  "independent certified public accountant" means a Canadian-chartered or
				  British-chartered accountant;
(2)
				  "group of insurers" means those authorized insurers included in the reporting
				  requirements of AS 21.22, or a subset of those insurers as identified by
				  company management for the purpose of assessing the effectiveness of internal
				  control over financial reporting;
(3) "insurer" means an authorized insurer as
				  defined in
				  AS
				  21.97.900;
(4) "material weakness" has the meaning given
				  in the American Institute of Certified Public Accountants'
AU Section
				  325: Communicating Internal Control Related Matters Identified in an
				  Audit
; the definition of "material weakness" in the American Institute
				  of Certified Public Accountants'
AU Section 325: Communicating Internal
				  Control Related Matters Identified in an Audit
, dated July 7, 2007, is
				  adopted by reference;
(5) "SOX
				  compliant entity" means an entity that is voluntarily or required to be
				  compliant with the
(A) preapproval
				  requirements of   15 U.S.C. 78   j - 1(i) (sec. 10A(i) of the Securities Exchange
				  Act of 1934, as added by sec. 202 of the Sarbanes-Oxley Act of 2002
				  (SOX));
(B) audit committee
				  independence requirements of 15 U.S.C. 78 j - 1(m)(3) (sec. 10A(m)(3) of the
				  Securities Exchange Act of 1934, as added by sec. 301 of the Sarbanes-Oxley Act
				  of 2002 (SOX)); and
(C) internal
				  control over financial reporting requirements of
				  15 U.S.C.
				  7262 (sec. 404 of the Sarbanes-Oxley Act of
				  2002 (SOX)) and
				  17 C.F.R.
				  229.308 (item 308 of Securities Exchange
				  Commission Regulation S-K);
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 8 - Actuarial Opinion and Memorandum › 3 AAC 21.800 - Purpose

Current through May 31, 2024
The purpose of
					 3 AAC 21.800 -
					 3 AAC 21.845 is to establish:
(1) requirements for a statement of actuarial
				  opinion submitted under
				  AS
				  21.18.110(m) and for a
				  memorandum prepared under
				  AS
				  21.18.110(q); and
(2) requirements and qualifications for the
				  appointment of an appointed actuary.
Authority:
AS
						21.06.090
AS 21.18.110
AS
						21.18.160
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 8 - Actuarial Opinion and Memorandum › 3 AAC 21.805 - Applicability

Current through May 31, 2024
(a) The provisions of
				  3 AAC 21.800 -
				  3 AAC 21.845 apply to all insurers and fraternal benefit
				  societies transacting the business of life insurance, annuities, or health
				  insurance in this state and to all insurers and fraternal benefit societies
				  that reinsure life insurance, annuities, or health insurance in this state and
				  are required to file an annual statement.
(b) Repealed 1/1/2005.
Authority:
AS
						21.06.090
AS 21.18.110
AS 21.18.160
AS
						21.84.335
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 8 - Actuarial Opinion and Memorandum › 3 AAC 21.810 - Qualified actuary

Current through May 31, 2024
(a) A "qualified actuary" is an individual
				  who
(1) is a member in good standing of the
				  American Academy of Actuaries;
(2)
				  meets the qualification standards of the American Academy of Actuaries to sign
				  statements of actuarial opinion for an annual statement of a company;
(3) is familiar with the valuation
				  requirements under
				  AS
				  21.18.080-21.18.086 and
				  AS
				  21.18.110; and
(4) has not been disqualified by the
				  director, after notice and hearing under
				  AS
				  21.06.180, for
(A) a violation of AS 21, an insurance law of
				  any state, or other law pertinent to the duties or responsibilities of a
				  qualified actuary;
(B) conviction
				  of a fraudulent act;
(C) conduct
				  considered by the director to reflect incompetence or
				  untrustworthiness;
(D) the
				  submission to the director within the past five years of an actuarial opinion
				  or memorandum that the director rejected because it failed to meet the
				  requirements of
				  3 AAC 21.800 -
				  3 AAC 21.845 or the actuarial practice standards adopted
				  by the Actuarial Standards Board required by
				  AS
				  21.18.110(n);
(E) resignation or removal as an actuary with
				  a company or a consulting firm within the past five years due to acts or
				  omissions indicated in a report of examination or due to failure to adhere to
				  generally accepted actuarial standards; or
(F) failure to notify the director of an
				  action taken against the actuary by an insurance regulator of another state for
				  grounds that are substantially the same as a provision under this
				  paragraph.
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 8 - Actuarial Opinion and Memorandum › 3 AAC 21.815 - General requirements

Current through May 31, 2024
(a) A company shall attach to the inside
				  front cover of the annual statement filed each year, the statement of a
				  qualified actuary entitled "statement of actuarial opinion" that expresses an
				  opinion relating to reserves and related actuarial items held in support of
				  policies and contracts in accordance with
				  3 AAC 21.830.
(b) Repealed 1/1/2005.
(c) Repealed 1/1/2005.
(d) Upon written request by a company, the
				  director will, in the director's discretion, grant an extension of the date for
				  submission of the statement of actuarial opinion.
(e) The appointed actuary shall retain on
				  file for seven years documentation that is sufficient for the director to
				  determine the procedures followed, the analyses performed, the bases for
				  assumptions, and the results obtained in the development of the actuarial
				  opinion and supporting memorandum.
Authority:
AS
						21.06.090
AS 21.18.110
AS
						21.18.160
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 8 - Actuarial Opinion and Memorandum › 3 AAC 21.830 - Statement of actuarial opinion

Current through May 31, 2024
(a) A statement of actuarial opinion must contain the
					 following:
(1) an opening paragraph, in substantially the following
					 form, that identifies the appointed actuary, lists the actuary's
					 qualifications, and indicates the relationship between the actuary and the
					 company for whom the opinion is written:
[FOR A COMPANY ACTUARY]
________________________
[FOR A CONSULTING ACTUARY]
________________________
(2) a scope paragraph, in substantially the following
					 form, that identifies the subjects on which an opinion is expressed and
					 describes the scope of the appointed actuary's work, including a tabulation
					 that delineates the reserves and related actuarial items that have been
					 analyzed for asset adequacy, states the method of analysis, and identifies the
					 reserves and related actuarial items covered by the opinion that have not been
					 analyzed for asset adequacy:
"I have examined the actuarial assumptions and actuarial
					 methods used in determining the reserves and related actuarial items listed
					 below, as shown in the annual statement of the company, as prepared for filing
					 with state regulatory officials, as of December 31, _________ . Tabulated below
					 are the reserves and related actuarial items that have been subjected to asset
					 adequacy analysis":
RESERVES AND RELATED ACTUARIAL ITEMS
Asset Adequacy Tested Amounts - Reserves and Liabilities
					 Statement Item Formula
Reserves Additional
Actuarial
Reserves (a) Analysis
Method (b) Other
Amount Total
Amount
(1) + (2) + (3) (1) (2) (3) (4) Exhibit 8 A Life Insurance
					 B Annuities C Supplementary
Contract
Involving Life
Contingencies D Accidental Death
Benefit E Disability - Active F Disability - Disabled G
					 Miscellaneous Total (Exhibit 8
Item 1, Page 3) Exhibit 9 A Active Life
Reserve B Claim Reserve Total (Exhibit 9
Item 2, Page 3) Exhibit 10
Premiums and
Other Deposit
Funds (Column
5, Line 14 Guaranteed
Interest
Contracts
(Column 2, Line 14) Other
(Column 6, Line 4) Supplemental
Contracts and
Annuities Certain
(Column 3, Line 14) Dividend
Accumulations
(Column 4, Line 14) Total Exhibit 10
(Column 1, Line 14) Exhibit 11 Part 1
1 Life (Page 3,
Line 4.1) 2 Health (Page 3,
Line 4.2) Total Exhibit 11,
Authority:
AS
						21.06.090
AS 21.09.200
AS 21.18.110
AS
						21.18.160
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 8 - Actuarial Opinion and Memorandum › 3 AAC 21.840 - Additional considerations for analysis

Current through May 31, 2024
(a) Repealed
				  1/1/2005.
(b) Repealed
				  1/1/2005.
(c) An appropriate
				  allocation of assets equal to the interest maintenance reserve of the annual
				  statement must be used in the asset adequacy analysis. The analysis of risks
				  regarding asset default may include an appropriate allocation of assets
				  supporting the asset valuation reserve. These asset valuation reserve assets
				  may not be applied to any other risks with respect to reserve adequacy. The
				  analysis of asset default risk and other risks may include assets supporting
				  other mandatory or voluntary reserves available to the extent they are not used
				  for risk analysis and reserve support. The total amount of assets used for the
				  asset valuation reserve used must be disclosed in the actuarial opinion, and
				  the memorandum must disclose the method used for selecting a particular asset
				  or allocated portion of an asset.
(d) Repealed 1/1/2005.
(e) Repealed 1/1/2005.
Authority:
AS
						21.06.090
AS 21.18.110
AS
						21.18.160
Alaska Administrative Code › Title 3 - Commerce, Community, and Economic Development › Part 2 - Division of Insurance › Chapter 21 - Insurer - Financial › Article 8 - Actuarial Opinion and Memorandum › 3 AAC 21.845 - Definitions

Current through May 31, 2024
In
					 3 AAC 21.800 -
					 3 AAC 21.845, unless the context requires
					 otherwise,
(1) "actuarial opinion"
				  means the opinion of an appointed actuary regarding the adequacy of the
				  reserves and related actuarial items based on an asset adequacy test performed
				  under 3 AAC 21.800 -
				  3 AAC 21.845;
(2) "Actuarial Standards Board" means the
				  board established by the American Academy of Actuaries to develop and adopt
				  standards of actuarial practice;
(3) "annual statement" means the statement
				  required to be filed by an authorized insurer under
				  AS
				  21.09.200;
(4) "appointed actuary" means a qualified
				  actuary who is appointed or retained by a company to provide an actuarial
				  opinion and prepare a supporting memorandum under
				  AS
				  21.18.110;
(5) "company" means an insurer, a fraternal
				  benefit society, or a reinsurer that is required to comply with
				  3 AAC 21.800 -
				  3 AAC 21.845;
(6) "director" means the director of
				  insurance;
(7) repealed
				  1/1/2005.
Authority:
AS
						21.06.090
AS 21.09.200
AS 21.18.110
AS
						21.18.160