SSAP 55 and 65 Flashcards Preview

Exam 6 > SSAP 55 and 65 > Flashcards

Flashcards in SSAP 55 and 65 Deck (13)
Loading flashcards...

Liability disclosures

Anticipated SalSub,
Liability balance at beginning of each year,
Policies to estimate liabilities
Reason for changes in prior year losses


Extended reporting, indefinite period

Premium fully earned at inception of contract, liabilities should be recognized immediately


Extended reporting, fixed period

Premium earned over the term (UEPR for unexpired portion), losses recorded when reported


Discounting disclosures

Tables used, rates used, discounted amount, amount of tabular discount by LOB


Discounting disclosure if rates have changed

Amount of discount under old rates
Amount of discount under current rates
Change due to change in rates/assumptions
Amount of non-tabular discount


Testing adequate UEPR for long-term policies

1) MBE of amounts refundable at reporting date
2) Gross premium * projected future loss ratio
3) Projected future gross losses to be incurred during unexpired term minus PV of guaranteed premiums;
UEPR should not be smaller han largest result


Deductible recoveries, no collateral

Over 90 days, nonadmitted


Deductible recoveries, with collateral

10% of deductible excess of collateral is nonadmitted


AE disclosures

Reserving methods
Amount incurred
Description of LOBs affected
Five years' activity


Policyholder Dividends become liabilities...

Immediately when they are declared


Functions of FIO

Coordinate federal efforts; develop federal policy with regards to int'l insurance matters; consult with states regarding insurance matters of national importance


FIO essentially

Has the power to act like a national regulator


High-deductible policy liabilities

Held net of recoverables