Current through Rules and Regulations filed through March 20, 2024
(1) Submission of Statement of Actuarial
Opinion.
(a) There is to be included on or
attached to Page 1 of the annual statement for each year beginning with the
year in which this regulation becomes effective the statement of an appointed
actuary, entitled "Statement of Actuarial Opinion," setting forth an opinion
relating to reserves and related actuarial items held in support of policies
and contracts, in accordance with
120-2-74-.06 of this
regulation.
(b) Upon written
request by the company, the Commissioner may grant an extension of the date for
submission of the statement of actuarial opinion.
(2) Qualified Actuary. A "qualified actuary"
is an individual who:
(a) Is a member in good
standing of the American Academy of Actuaries;
(b) Is qualified to sign statements of
actuarial opinion for life and health insurance company annual statements in
accordance with the American Academy of Actuaries qualification standards for
actuaries signing such statements;
(c) Is familiar with the valuation
requirements applicable to life and health insurance companies;
(d) Has not been found by the Commissioner
(or if so found has subsequently been reinstated as a qualified actuary),
following appropriate notice and hearing to have:
1. Violated any provision of, or any
obligation imposed by, the Insurance Law or other law in the course of his or
her dealings as a qualified actuary;
2. Been found guilty of fraudulent or
dishonest practices;
3.
Demonstrated his or her incompetency, lack of cooperation, or untrustworthiness
to act as a qualified actuary;
4.
Submitted to the Commissioner during the past five (5) years, pursuant to this
regulation, an actuarial opinion or memorandum that the Commissioner rejected
because it did not meet the provisions of this regulation including standards
set by the Actuarial Standards Board; or
5. Resigned or been removed as an actuary
within the past five (5) years as a result of acts or omissions indicated in
any adverse report on examination or as a result of failure to adhere to
generally acceptable actuarial standards; and
6. Has not failed to notify the Commissioner
of any action taken by any Commissioner of any other state similar to that
under Paragraph (4) above.
(3) Appointed Actuary. An "appointed actuary"
is a qualified actuary who is appointed or retained to prepare the Statement of
Actuarial Opinion required by this regulation, either directly by or by the
authority of the board of directors through an executive officer of the company
other than the qualified actuary. The company shall give the Commissioner
timely written notice of the name, title (and, in the case of a consulting
actuary, the name of the firm) and manner of appointment or retention of each
person appointed or retained by the company as an appointed actuary and shall
state in the notice that the person meets the requirements set forth in
Subsection B. Once notice is furnished, no further notice is required with
respect to this person, provided that the company shall give the Commissioner
timely written notice in the event the actuary ceases to be appointed or
retained as an appointed actuary or to meet the requirements set forth in
Subsection B. If any person appointed or retained as an appointed actuary
replaces a previously appointed actuary, the notice shall so state and give the
reasons for replacement.
(4)
Standards for Asset Adequacy Analysis. The asset adequacy analysis required by
this regulation:
(a) Shall conform to the
Standards of Practice as promulgated from time to time by the Actuarial
Standards Board and on any additional standards under this regulation, which
standards are to form the basis of the statement of actuarial opinion in
accordance with this regulation; and
(b) Shall be based on methods of analysis as
are deemed appropriate for such purposes by the Actuarial Standards
Board.
(5) Liabilities
to be Covered.
(a) Under authority of
33-10-13(b.1), the statement of actuarial opinion shall apply to all in force
business on the statement date, whether directly issued or assumed, regardless
of when or where issued, e.g., reserves of Exhibits 8, 9 and 10, and claim
liabilities in Exhibit 11, Part 1 and equivalent items in the separate account
statement or statements.
(b) If the
appointed actuary determines as the result of asset adequacy analysis that a
reserve should be held in addition to the aggregate reserve held by the company
and calculated in accordance with methods set forth in the Standard Valuation
Law, the company shall establish the additional reserve.
(c) Additional reserves established under
Paragraph (2) above and deemed not necessary in subsequent years may be
released. Any amounts released shall be disclosed in the actuarial opinion for
the applicable year. The release of such reserves would not be deemed an
adoption of a lower standard of valuation.
O.C.G.A. Secs.
33-2-9,
33-10-13.
