ATTACHMENT K
CLRS
NAIC CODIFICATION OF STATUTORY ACCOUNTING PRINCIPLES
STATE IMPLEMENTATION
March 2000
The attached chart summarizes discussions with State Insurance Departments regarding their plans for
the adoption of Codification, and any legislative or regulatory activity which has occurred. This
information was gathered by the following trade associations:
·
Alliance of American Insurers
·
American Council of Life Insurance
·
American Insurance Association
·
National Association of Independent Insurers
·
National Association of Mutual Insurance Companies
Although we made every effort to accurately report the results of our discussions, no assurances
can be given that the results represent the ultimate decisions of the Insurance Departments or State
Legislatures.
Questions or comments regarding this information are welcome.
1
NAIC CODIFICATION OF STATUTORY ACCOUNTING PRINCIPLES
STATE IMPLEMENTATION
March 2000
*Biannual American Council of Life Insurers
STATE
AL
Does the state plan
to adopt
Codification for
implementation
1/1/2001?
Yes
Current citation to AP&P
Manual
How/when will AP&P Manual (version effective
1/1/2001) be implemented?
Regulation No. 97, Sec. 4
“NAIC AP&P Manual except
when in conflict with AL
laws or rules”
Department Bulletin 1/26/2000
Issued as “additional information” to Reg. 97,
requires use by authorized insurers of the new
NAIC AP&P Manual on 1/1/2001.
The Insurance Department has not yet reviewed
existing accounting requirements to determine if
any modifications to current statutes or regulations
are necessary.
AK
Yes
Statute § 21.06.140(c)
“If records are not kept as
required by AP&P Manual
currently approved by the
NAIC, Director may employ
experts to balance them...”
Bulletin 92-4 “NAIC AP&P
Manual. The Manual reflects
the generally accepted ap’s
for statutory accounting
adopted by NAIC (EX4)
Subcommittee”
Person contacted: Richard Ford
Bulletin B99-08
1/1/2001 will be the effective date for the new
NAIC AP&P Manual for authorized insurers in
AK. For non-domiciled insurers, the Division will
accept the requirement of the domiciliary
jurisdiction before 1/1/2001. The Insurance
Division believes that Codification is adopted by
reference, via existing statute.
Proposed Senate Bill 209/House Bill 303
Repeals and reenacts provisions regarding
allowable assets and assets not allowed. Also
amends sections regarding reserves and liabilities,
and diversification of investments.
In Senate and House Labor and Commerce
Committees.
Person contacted: Gloria Glover
AZ
Yes
Statute § 20-223(A) “ap&p’s Circular Letter 1999-8
Pursuant to statute, insurers doing business in the
approved by the NAIC”
state will be required to conform to the ap&p’s in
the new manual for financial filings with an “as of”
date on and after 1/1/2001. The Insurance
Department believes that the existing statute would
effectuate the adoption of Codification through
incorporation into the NAIC AP&P Manual.
Proposed House Bill 2021
Makes numerous changes to various statutory
accounting requirements to conform to
Codification. Amendments include areas such as
admitted/nonadmitted assets, reserves, valuation,
investments, mortgages, loans, surplus, and
reinsurance. Passed House on 1/25/2000. Placed
on Senate Consent Calendar on 2/28/2000.
AR*
Yes
Statute § 23-63-216
“NAIC AP&P Manual”
Person contacted: Vista Brown, Gary Torticill,
Nancy Howse
House Bill 1328
The annual statement shall...follow those
accounting practices and procedures prescribed by
the “most recent and appropriate, companion”
NAIC AP&P Manual. Law - Effective 7/30/99.
The Department is working on a bulletin or
memorandum concerning the adoption of the new
manual. A task force including domestic industry
was formed in 1999 to review any potential conflict
between existing accounting requirements and
Codification; deliberations continue.
CA
Yes
Statute § 923 “NAIC AP&P
Manual to the extent the
p&p’s do not conflict with
Code. Commissioner may
make changes”
Person contacted: Mel Anderson
The Insurance Department plans to send out a
notice imminently to all companies which indicates
that, due to the existing statute, Codification will
become effective on 1/1/2001. The notice will also
be posted on the CA website. With respect to the
Department’s comparison of current accounting
requirements to Codification, the Department
repealed inconsistent and outdated statutes several
years ago. The Department has not made a final
decision with respect to repealing its statutory
language regarding the excess of Schedule P
formula reserve for worker’s compensation. The
Department may also repeal some outdated
regulations that have been superceded.
Person contacted: Norris Clark
3
CO
Yes
Statute CRS 10-3-208
“NAIC instructions,
procedures, guidelines”
Regulation § 3-1-10 “The
appropriate NAIC AP&P
Manual. These Manuals do
not supercede any specific
statutes, regs, orders, rulings”
CT
Yes
Statute Sec. 38a-53 “NAIC
AP&P Manual subject to
deviations prescribed by
Commissioner”
The Insurance Department believes that no
additional action is necessary to adopt
Codification, due to authority provided by
language of existing statute and regulation.
The Department’s review of relevant statutes and
rules is nearing completion. Resulting amendments
to the statutes will be introduced during the 2001
legislative session. The Department also plans to
issue a bulletin in early 2000 explaining this
process and soliciting comments.
Person contacted: Chad Collier
Proposed Senate Bill 1261
“When adopting accounting rules, the
Commissioner shall follow those ap&p’s published
in the NAIC AP&P Manual, version effective
1/1/2001, or any subsequent corresponding manual,
and the NAIC Annual Statement Instructions,
subject to any deviations the Commissioner may
prescribe.”
Passed Senate on 5/12/99. To House. Failed to
pass.
Proposed Senate Bill 443
Includes same wording that was proposed in Senate
Bill 1261, above. Also makes changes to various
statutory provisions in order to conform to
Codification, including the definition of qualified
assets, surplus requirements, and premium and
contingency reserve requirements.
In Senate Joint Committee on Insurance.
The Insurance Department formed a review group,
including domestic industry, in 1999. Legislation
based on the recommendations of that group has
been introduced (above).
DE
Yes
Statute § 526(a) “NAIC
AP&P Manual”
DC
Yes
Statute § 35-3401
“NAIC AP&P Manual...
Mayor has power to make
modifications/
additions in financial
statement forms”
Person contacted: Fran O’Connor
The Insurance Department believes that the
wording of the existing statute provides for the
adoption of Codification without additional
activity.
Person contacted: Fred Townsend
All insurers will be notified by bulletin that
Codification will become effective on 1/1/2001.
The City Council will be contacted as well to let
them know about the new manual. The Insurance
Department has compared Codification to existing
statutory requirements and does not believe that
any major inconsistencies exist.
Person contacted: Thomas Hampton
4
FL
Yes
Regulation § 4-137.001
“NAIC AP&P Manuals for
Life & A&H, P&C, 1998
version” (updated annually)
GA
Yes
Regulation § 120-2-18-.07
“NAIC AP&P Manual
incorporated by reference”
HI
Yes
ID
Yes
Statute § 41-335 “Unless
otherwise required by
Director, NAIC AP&P
Manual”
IL
Yes
Statute 215 ILCS 5/136
“NAIC AP&P Manual.
Director has power to make
modifications and additions”
The Insurance Department plans to adopt
Codification by rule, as they have the statutory
authority to do so. The Department formed an
internal working group in 1999 to compare existing
accounting requirements to Codification and
evaluate the need for any statutory changes.
Person contacted: Michelle Newell
The Insurance Department has reviewed its statutes
and regulations in comparison with Codification,
and believes that statutory changes may not be
necessary.
Person contacted: Don Roof, Amy Atkinson
Statute § 431:3-301(a)(1)(A) The Insurance Department plans to adopt
“NAIC AP&P Manual”
Codification based on the existing statutory
reference. The Department has formed a
committee to review the new manual’s adoption.
Person contacted: George Ito, Jim Mzyk
The Insurance Department believes that the statute
provides sufficient authority to adopt Codification
without additional legislation. The Department
plans to issue a bulletin to domestics informing
them of the new manual’s adoption. The
Department believes that no conflicting authority
exists between current accounting requirements and
Codification.
Person contacted: Candy Kinch, Martha Hopper
House Bill 2777
Repeals most statutory definitions of “admitted
assets,” and adds HMOs and limited health
services organizations to those entities required to
prepared the annual statement is accordance with
the NAIC AP&P Manual. Law - Effective 8/14/99.
Emergency Rule 945
Clarifies the current definition of “admitted assets,”
the language of which was inadvertently stricken in
HB 2777 (above), due to a change in the effective
date. Effective 1/29/2000.
Person contacted: Arnie Dutcher
5
IN
Yes
Statute § 27-1-3-13 “The
most recent NAIC AP&P
Manual”
Proposed Senate Bill 418
Authorizes the Insurance Commissioner to allow an
insurer to exceed the current statutory limit on the
total value of goodwill, trade names, and other
intangible assets that can be recognized as admitted
assets if such assets are attributable to the insurer’s
acquisition of another insurer or HMO. Passed
Senate on 2/7/2000. Passed House on 2/23/2000.
The Insurance Department plans to issue an
administrative letter or bulletin informing
companies that the new manual is required by the
existing statute. The Department is undertaking a
side by side analysis to identify any differences
between current accounting requirements and
Codification, which will be shared with the
domestic industry. This process is expected to be
completed in 6/2000.
IA
Yes
Statute § 508.11(43)
“Commissioner may adopt by
reference NAIC AP&P
Manual”
KS
Yes
Statute § 40-225 “NAIC
ap&p’s with additions or
amendments thereto adopted
by Commissioner”
Person contacted: Chuck Russell
The Insurance Division plans to adopt Codification
as a whole through rule making.
The Division formed a working group, including
domestic companies, in 1999 to compare current
accounting guidance to Codification. The group’s
work is complete, and proposed statutory changes
will be introduced as part of the Commissioner’s
package during the 2000 legislative session.
Person contacted: Bob Howe, Kim Cross
Proposed Senate Bill 443
Repeals provisions regarding liabilities for losses
and loss adjustment expenses, which are
inconsistent with Codification. Passed Senate on
2/23/2000. In House Insurance Committee.
The Insurance Department believes that
Codification as a whole can be adopted without
specific legislation thereto, due to its statutory
reference to the NAIC AP&P Manual. The
Department has reviewed Codification, and is in
the process of correcting inconsistencies through
legislation.
KY*
Yes
Statute § 304.3-241 “ap&p’s
which meet or exceed NAIC
ap&p’s”
Person contacted: Don Gaskill, Pat Mulvihill
The Insurance Department believes that it has the
statutory authority to adopt Codification without
specific changes to the law. The Department plans
to compare existing requirements to Codification in
order to determine whether any inconsistencies
exist.
Person contacted: Pat Talley
6
LA
Yes
Statute Part XXXI, Sec.
22:1451(D) “NAIC AP&P
Manual”
ME
Yes
Statute 24-A, § 423(1,5)
“NAIC AP&P Manual, with
any useful or necessary
modification or adaptation
thereof required by
Superintendent”
MD
Yes
Regulation § 31.04.01.04
“NAIC AP&P Manual”
MA
Yes
Statute Ch. 175, Sec. 25
“NAIC AP&P Manual,
unless further modified by
the Commissioner as he
considers appropriate”
MI
Yes
Bulletin 97-10 “NAIC AP&P
Manuals for Life & A&H,
Fire & Casualty, as updated
by the NAIC”
The Insurance Department believes that it has the
statutory authority to adopt Codification, effective
1/1/2001, without further changes to the law. The
Department plans to notify the Legislature about
the accounting changes contained in the new
manual. The Department is in the second round of
reviewing Codification internally, and will provide
its results to a group of domestic insurers.
Person contacted: Craig Gardner, Denise Brignac
The Insurance Department believes that the statute
provides the necessary authority to adopt
Codification without further legislative action. The
Department has conducted a legal review of
existing accounting requirements in comparison
with Codification and does not believe that any
major inconsistencies exist.
Person contacted: Enya Carter
The Insurance Department believes it has sufficient
authority to adopt Codification without further
legislative action. The Department plans to issue a
bulletin explaining the significance of Codification
to domestic insurers. The Department also expects
to begin a review of statutes and regulations, and
will ask domestic insurers and interested parties to
participate.
Person contacted: Ilona Klasons, Lester Schott
The Insurance Department believes that the
existing statute adopts Codification by reference,
effective 1/1/2001. The Department anticipates
issuing a bulletin to domestic insurers notifying
them of the adoption of Codification. The
Department is performing its own review of
statutes/regulations to determine if conforming
changes are necessary, and intends to finish this
process in the spring of 2000.
Person contacted: Bob Dynan, John Ritacco
Insurance Bureau officials and the industry, with
the Life Insurance Association of Michigan acting
as coordinator, completed a review of Codification
and made recommendations for modifications in
11/99. The Insurance Commissioner is reviewing
the specific recommendations. The Bureau plans
to adopt Codification, subject potentially to
modifications if in conflict with state laws and
regulations.
Person contacted: Jean Carlson
7
MN
Yes
Statute § 60A.13(Subdiv.1)
“NAIC AP&P Manual,
unless the Commissioner
requires another method of
reasonable valuation”
MS
Yes
Statute § 83-5-55 “NAIC
AP&P Manual”
MO
Yes
MT*
Yes
Regulation 20 CSR 2001.020(1) “ NAIC AP&P
Manuals for Fire & Casualty,
Life & A&H, except where
applicable provisions of Ch.
374-385, or specific rules,
expressly provide otherwise”
Statute § 33-2-701 “NAIC
AP&P Manual”
NE
Yes
Statute § 44-322(1) “NAIC
AP&P Manual”
The Insurance Department believes that the
existing statute authorizes the new manual. The
Department may issue a bulletin informing insurers
of the new manual. The Department has solicited
input from insurers, identified statutory changes to
conform to Codification, and has drafted legislation
expected to be introduced in 2000 session.
Person contacted: Charles Nettell, Jill Rickheim
The Insurance Department believes that the
existing statute provides for the adoption of
Codification. The Department may send a letter or
bulletin about prospective adoption of the new
manual with the 2000 Annual Statement mailing.
The Department believes that no significant
conflict exists between current accounting
requirements and Codification.
Person contacted: James Ainsworth
The Insurance Department intends to amend its
existing regulation in order to adopt Codification.
The Department will likely propose legislation to
conform existing statutes to Codification, where
necessary.
Person contacted: Joe Haverstick
The Insurance Department believes that it has the
statutory authority to adopt Codification without
specific additional wording. The Department has
not yet reviewed existing accounting requirements
to determine whether any modifications to current
statutes or rules are necessary.
Person contacted: Jim Borchardt
Legislative Bill 326
Requires all companies to prepare their financial
statements in accordance with the ap&p manuals as
prescribed by the Director which conform
substantially to the NAIC AP&P Manuals on and
after 1/1/2001. Law - Effective 8/28/99.
Proposed Legislative Bill 930
Conforms or repeals various statutory accounting
standards that duplicate or are in conflict with
Codification so as to avoid needless reporting of
differences. Includes amendments to the life/health
guaranty association regarding the admissibility of
assets. Voted out of Banking and Insurance
Committee on 1/19/2000. To Legislature.
Person contacted: Dave Krumm
8
NV*
Yes
Regulation
The Insurance Department believes that
Codification will come into effect without
additional action. The Department has compared
Codification to existing statutory accounting and
does not believe that any major inconsistencies
exist.
NH
Yes
Statute § 400-A:36-a “NAIC
AP&P Manual”
NJ
Yes
Person contacted: David Carbon
The Insurance Department does not believe it
needs to take any formal action to effectuate
Codification, due to existing statutory
requirements.
Person contacted: Thomas Burke
Statute § 17B:21-1(a) “NAIC Bulletin 99-15
Insurers are reminded that they must make
AP&P Manual, and all
applicable provisions of law” appropriate accounting and system changes to
comply with the new AP&P Manual beginning
with the quarterly statement for the period ending
3/31/2001, as well as continue to comply with all
existing requirements of law. The Bulletin also
notes that the Department is presently conducting
an in-depth analysis of NJ law and Codification
requirements to determine whether there are any
inconsistencies.
NM
Yes
Statute § 59A-5-29(A)
“NAIC AP&P Manual, and
supplemented by additional
information as required by
Superintendent”
NY
Yes
Statute § 307(a)(1-2)
Requires insurers authorized
in the state to file an annual
statement in such form
prescribed by the
Superintendent, and permits
the use of annual statement
form adopted from time to
time by the NAIC”
Person contacted: Karen Mitchell
Due to existing statutory authority, the Insurance
Department does not believe that additional
legislation or regulation is necessary, but the
Department is still considering the matter.
Person contacted: Mike Batte
Circular Letter No. 11 (2000)
Informs the industry of the Insurance Department’s
intention to proceed with implementation of the
new Codification rules, subject to any provisions of
statute which conflict with particular points in the
rules. Denotes the establishment of an internal
committee to work on Codification issues.
The insurance industry, with the Life Insurance
Council of New York acting as the coordinator, has
reviewed statutes, regulations, and circular
bulletins, and has proposed amendments necessary
to implement Codification. The Department is
studying these recommendations
Person contacted: Kevin Rampe, Stephen Maluk
9
NC
Yes
Statute § 58-2-165(c)
“NAIC AP&P Manual,
unless further modified by
Commissioner”
The Insurance Department believes that, by virtue
of existing statute, Codification will take effect on
1/1/2001.
Person contacted: Ray Martinez
ND*
Yes
Regulation § 45-03-15-01,02 Senate Bill 2156
Gives the Commissioner specific authority to adopt
“NAIC AP&P
the NAIC AP&P Manual by rule.
Manuals for P/C and L/H”
Law - Effective 8/1/99.
The Insurance Department is comparing current
accounting requirements with Codification, in
conjunction with the domestic industry. The target
date for completion of analysis is 7/1/2000. Any
potential legislative or regulatory changes will be
assessed at that time.
OH
OK
Yes
Yes
Statute § 3905.29(A)
“Superintendent shall adopt
manuals prescribed by NAIC
for preparation of statutory
financial statements. For
circumstances not addressed
by manuals, Superintendent
may determine ap’s”
Statute § 311(A) “NAIC
AP&P Manual, as
supplemented by the
Commissioner by rule”
Person contacted: Trent Heinemeyer
Bulletin 98-3
Notification to all insurers that, pursuant to statute,
the Insurance Department will adopt the new
AP&P Manual, effective 1/1/2001. The current
version remains in effect until 12/31/2000.
The Department expects to draft a regulatory
“clean up” proposal by 5/2000, with promulgation
of a rule by 8/2000, after domestic industry review.
Person contacted: Mike Motil, Barry Ward
The Insurance Department believes that the
reference in the statute to the NAIC Manual
provides for the adoption of Codification. After
annual statement filings this spring, the Department
will issue a bulletin to domestic companies noting
application of the new manual as of 1/1/2001. The
Department believes that there are only minor
existing conflicts with Codification, which are not
problematic.
Person contacted: John Beers
10
OR*
Yes
Statute § 733.210(2)
“Standards, p&p’s
established by NAIC
Manuals”
Bulletin 96-7 “Life & A&H
Manual, Fire & Casualty
Manual”
2/24/2000 Department Memorandum to All
Authorized Insurers
The Insurance Department indicates its intention to
adopt and apply Codification without change. The
Department and a domestic industry study group
have finished a thorough r review of Codification,
and anticipates “100% compliance” with it. A
technical “clean up” bill will be drafted for
introduction in the 2001 legislative session.
Changes are anticipated in the areas of
EDPequipment, bonds, prepaid expenses, policy
loans, title insurance, mortgage guarantee
insurance, and business combinations and
goodwill.
Person contacted: Charles Nicoloff, Neeraj Gupta
PA
Yes
Statute § 443(2) “NAIC
AP&P Manual, unless
otherwise provided by law,
rule, or order of
Commissioner”
Bulletin 98 PA 7
NAIC Codification will be effective 1/1/2001, and
will apply to quarterly financial statements filed as
of 3/31/2001 for domestic insurers. Insurers must
receive written approval to implement any of the
codified principles prior to 1/1/2001.
Notice No. 2000-02
Advises all domestic fraternal benefit societies that
they will be required to adhere to the NAIC
codified principles in preparing financial
statements on the same dates as indicated for other
domestic insurers (see above).
The Insurance Department has reviewed most of
Codification, and is considering whether statutory
changes may be needed based on “materiality” of
the differences. The Department intends to
propose two rule changes in 2000, regarding EDP,
sliding scale reinsurance, and allocation of
expenses, to make them consistent with
Codification. Domestic industry will be given the
opportunity for input beforehand.
RI
Yes
Statute § 27-12-1 “ap&p
manuals published by the
NAIC as may be amended
from time to time...”
Person contacted: Steve Johnson
The Insurance Department does not believe that
legislation is necessary to adopt Codification. The
Department plans to notify insurers of its adoption
as of 1/1/2001, likely by bulletin.
Person contacted: Joe Torti
11
SC
Yes
Statute § 38-13-80(A)
“Unless Director provides
otherwise, NAIC AP&P
Manual”
SD
Yes
Statute § 58-6-75 “NAIC
AP&P Manual, as adopted
by rule. Director may also
establish additional p&p’s
considered necessary”
Regulation 20:06:25:01
“NAIC AP&P Manuals for
P/C Companies, Life & A&H
Companies, and HMOs, all
as in effect on 5/1/98"
Statute § 56-1-501(g) “NAIC
AP&P Manual in effect for
the period covered by the
report”
TN
Yes
TX*
Yes
Regulation § 7.18 “1/96
NAIC AP&P Manual for life
& health companies, 10/95
Manual for p/c, and 6/91
Manual for HMOs” (lists
specific exceptions to each
Manual)
UT
Yes
Statute § 31A-4-113 “In the
absence of a statute
providing otherwise, NAIC
AP&P Manual”
Due to existing statutory reference to the NAIC
AP&P Manual, the Insurance Department believes
that Codification will become effective on
1/1/2001. The Department is currently comparing
existing accounting requirements to Codification,
and expects to have the process completed by the
summer. Based on the results of the review,
legislation may be proposed during the 2001
legislative session.
Person contacted: Tim Campbell, Linda Haralson
The Insurance Department plans to adopt
Codification by regulation, which is an annual
process in the accounting area. This rule making
will provide for the opportunity to review any
existing conflicts with Codification, which are not
perceived at present.
Person contacted: Wendell Malsam
The Insurance Department notes that the statutes
incorporate the NAIC Manual, and regulations
incorporate the Annual Statement Instructions.
The Department is expected to issue a reminder
notice to companies about the effective date of the
new manual.
Person contacted: Bill Hosea
The Insurance Department plans to propose a
regulation in the spring of 2000 to adopt the NAIC
AP&P Manual, Version Effective 1/1/2001. The
regulation will clarify the differences between
Codification and TX accounting guidance. The
Department has formed a group of domestic
companies and interested parties to review current
guidance.
Person contacted: Betty Patterson, Kevin Brady
The Insurance Department believes that the
existing statute provides sufficient authority for the
adoption of Codification. The Department has not
yet reviewed current accounting requirements to
determine if any modifications to existing statutes
or regulations are necessary.
Person contacted: Larry Whitlock, C. Kaye
Anderson
12
VT
VA
Yes
Yes
Statute T.8 § 3561 “NAIC
AP&P Manual and other
information required by the
NAIC, and any
modifications/ adaptations
approved by Commissioner”
Statute § 38.2-1300(C)
“NAIC AP&P Manuals, or
any other successor
publications”
The Insurance Department believes that the current
statute, which incorporates the NAIC Manual by
reference, will provide for the adoption of
Codification 1/1/2001. The Department has met
with domestic companies and reviewed
Codification. Changes to the investment laws will
be recommended.
Person contacted: Kenneth McGuckin, Jackie
Hughes
Administrative Letter 1999-12
Pursuant to statute, all insurance entities shall be
required to adhere to the guidance set forth in the
NAIC’s AP&P Manual, version effective 1/1/2001,
when preparing and filing the annual statements for
year ended 12/31/2001, and also all quarterly
statements filed in 2001. The Insurance
Department believes that its existing statute
provides for the adoption of Codification.
Proposed Senate Bill 52
Amends various provisions of the law governing
the accounting practices of insurers to require those
sections to comply with the NAIC AP&P Manual.
Areas amended include valuation of investments
and other assets, unearned premium reserves, and
holding companies, among others.
Passed Senate on 1/20/2000. Passed House on
2/21/2000.
WA
WV
Yes
Yes
Regulation § 284-07-050(2)
“To enhance consistency in
accounting treatment...
NAIC AP&P Manuals...
Insurers are not relieved from
obligation to comply with
specific requirements of
Code or rules”
Statute § 33-4-14 “ap&p’s
prescribed by the NAIC
AP&P Manual as amended”
Person contacted: Doug Stolte
House Bill 1149
As introduced, the Insurance Department’s bill
would have required the adoption of the NAIC’s
Codification by rule, except for statutes governing
insurer investments and admitted assets. As
amended, requires insurers to file financial
statements in accordance with the ap&p manuals as
adopted by the NAIC, unless otherwise provided
by law.
Law - Effective 7/25/99.
Person contacted: John Woodall
The Insurance Department plans to issue an
Administrative Letter notifying companies that
Codification will be adopted on 1/1/2001, as
required by current law. The Department is
reviewing Codification, and plans to draft any
needed statutory or regulatory changes in the
summer of 2000, for introduction in 2001.
Person contacted: Keith Huffman, Jeff VanGilder
13
WI
Yes
Regulation
Ins 50.20(1)(b) “NAIC
AP&P Manual”
Due to wording of rule, the Insurance Department
(“OCI”) does not believe further legislative or
regulatory action is necessary to adopt
Codification.
OCI notified companies in its March 1999
quarterly bulletin that the existing rule
“automatically adopts each year’s changes” to the
NAIC manuals, and that domiciled companies
should “plan to file their quarterly and annual
statutory financial statements, beginning in 2001,
under Codification.” OCI has compared
Codification to existing statutory accounting and
does not believe that any major inconsistencies
exist.
WY
Yes
Regulation WY ADC INS
Ch. 47, s. 4 “NAIC AP&P
Manual”
Person contacted: Peter Medley
The Insurance Department is currently reviewing
Codification, and expects to propose any needed
statutory changes to conform current law to the
new manual Codification during the 2001
legislative session (2000 is a budget session only).
Person contacted: Linda Johnson
14