Code of Maine Rules › 02 - DEPARTMENT OF PROFESSIONAL AND FINANCIAL REGULATION › 031 - BUREAU OF INSURANCE › Chapter 780 - ACTUARIAL OPINION AND MEMORANDUM › Section 031-780-7 - Description of Actuarial Memorandum Including an Asset Adequacy Analysis and Regulatory Asset Adequacy Issues Summary

Current through 2024-29, July 17, 2024
A. General
(1) In accordance with Title
				 24-A M.R.S.A.
				Section952-A, the appointed actuary shall
				prepare a memorandum to the company describing the analysis done in support of
				his or her opinion regarding the reserves. The memorandum shall be made
				available for examination by the Superintendent upon his or her request but
				shall be returned to the company after such examination and shall not be
				considered a record of the insurance department or subject to automatic filing
				with the Superintendent.
(2) In
				preparing the memorandum, the appointed actuary may rely on, and include as a
				part of his or her own memorandum, memoranda prepared and signed by other
				actuaries who are qualified within the meaning of Section
				5(B) of this rule,
				With respect to the areas covered in such memoranda, and so state in their
				memoranda.
(3) If the
				Superintendent requests a memorandum and no such memorandum exists or if the
				Superintendent finds that the analysis described in the memorandum fails to
				meet the standards of the Actuarial Standards Board or the standards and
				requirements of this rule, the Superintendent may designate a qualified actuary
				to review the opinion and prepare such supporting memorandum as is required for
				review. The reasonable and necessary expense of the independent review shall be
				paid by the company but shall be directed and controlled by the
				Superintendent.
(4) The reviewing
				actuary shall have the same status as an examiner for purposes of obtaining
				data from the company and the work papers and documentation of the reviewing
				actuary shall be retained by the Superintendent; provided, however, that any
				information provided by the company to the reviewing actuary and included in
				the work papers shall be considered as material provided by the company to the
				Superintendent and shall be kept confidential to the same extent as is
				prescribed by law with respect to other material provided by the company to the
				Superintendent pursuant to the statute governing this rule. The reviewing
				actuary shall not be an employee of a consulting firm involved with the
				preparation of any prior memorandum or opinion for the insurer pursuant to this
				rule for any one of the current year or the preceding three (3)
				years.
(5) In accordance with Title
				 24-A M.R.S.A.
				Sections952-A, the appointed actuary shall
				prepare a regulatory asset adequacy issues summary, the contents of which are
				specified in Subsection C. The regulatory asset adequacy issues summary will be
				submitted no later than March 15 of the year following the year for which a
				statement of actuarial opinion based on asset adequacy is required. The
				regulatory asset adequacy issues summary is to be kept confidential to the same
				extent and under the same conditions as the actuarial memorandum.