Nevada Administrative Code › Chapter 680A - Authorization of Insurers and General Requirements › ANNUAL AUDITED FINANCIAL REPORT › Section 680A.181 - Independent certified public accountant: Designation; letter; dismissal or resignation

Current through June 11, 2024
1. Each insurer
			 required to file an annual Audited Financial Report pursuant to
			 NRS
			 680A.265 and the regulations adopted pursuant
			 thereto must, within 60 days after becoming subject to the requirement,
			 register with the Commissioner, in writing, the name and address of the
			 independent certified public accountant or accounting firm retained to conduct
			 the annual audit. An insurer who has not retained an independent certified
			 public accountant or accounting firm on or before January 1, 2010, shall
			 register with the Commissioner the name and address of the independent
			 certified public accountant or accounting firm retained by the insurer not less
			 than 6 months before the date when the first annual Audited Financial Report is
			 to be filed.
2. The insurer shall
			 obtain from the accountant, and shall file with the Commissioner, a copy of a
			 letter stating that the accountant is aware of the provisions of title 57 of
			 NRS and the regulations adopted pursuant thereto that relate to accounting and
			 financial matters and affirming that the accountant will express his or her
			 opinion on the financial statements in terms of their conformity to the
			 statutory accounting practices prescribed or otherwise permitted by the
			 provisions of title 57 of NRS and the regulations adopted pursuant thereto,
			 specifying such exceptions as he or she may believe appropriate.
3. Subject to the provisions of subsections 4
			 and 5, if an independent certified public accountant who was the accountant for
			 the most recent filing of the annual Audited Financial Report is dismissed or
			 resigns, the insurer shall, within 5 business days after the dismissal or
			 resignation, notify the Commissioner of the dismissal or resignation. Within 10
			 business days after notifying the Commissioner of the dismissal or resignation
			 of the accountant, the insurer shall file with the Commissioner a separate
			 letter stating whether, during the 24 months preceding the dismissal or
			 resignation, there were any disagreements between the former accountant and the
			 insurer on any matter of accounting principles or practices, financial
			 statement disclosure, or the scope or procedure of an audit and which
			 disagreements, if not resolved to the satisfaction of the former accountant,
			 would have caused the accountant to make a reference to the subject matter of
			 the disagreement in connection with his or her opinion filed with the annual
			 Audited Financial Report of the insurer.
4. The disagreements that are required to be
			 reported pursuant to subsection 3 include both those resolved and those not
			 resolved to the satisfaction of the former accountant. The disagreements
			 contemplated by this section are those disagreements that occur at the
			 decision-making level, including, without limitation, disagreements between
			 personnel of the insurer responsible for presentation of its financial
			 statements and personnel of the accounting firm responsible for rendering its
			 report.
5. 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 he or she does not agree.
			 The insurer shall furnish the responsive letter from the former accountant to
			 the Commissioner together with its own letter.
Added to NAC by Comm'r
				of Insurance by R205-08, 11-25-2009, eff.
				1-1-2010
NRS
				  679B.130,
				  680A.265,
				  680A.270