11 CRR-NY 95.6NY-CRR
11 CRR-NY 95.6
11 CRR-NY 95.6
95.6 Required opinions.
(a) General.
Every company doing business in this State shall annually submit the opinion of an appointed actuary as provided for by this part. The type of opinion submitted shall be determined by the provisions set forth in this section and shall be in accordance with the applicable provisions of this Part.
(b) Company categories.
For purposes of this Part, companies shall be classified as follows based on their admitted assets as of the end of the calendar year for which the actuarial opinion is applicable:
(1) category A shall consist of those companies whose admitted assets do not exceed $20 million;
(2) category B shall consist of those companies whose admitted assets exceed $20 million but do not exceed $100 million;
(3) category C shall consist of those companies whose admitted assets exceed $100 million but do not exceed $500 million;
(4) category D shall consist of those companies whose admitted assets exceed $500 million.
(c) Exemption eligibility tests.
(1) Any category A company that, for any year beginning with the year in which this Part becomes effective, meets all of the following criteria shall be eligible for exemption from submission of a statement of actuarial opinion in accordance with section 95.8 of this Part for the year in which these criteria are met. The ratios in subparagraphs (i), (ii) and (iii) of this paragraph shall be calculated based on amounts as of the end of the calendar year for which the actuarial opinion is applicable.
(i) the ratio of the sum of capital and surplus to the total admitted assets is at least equal to.10;
(ii) the ratio of the sum of the reserves and liabilities for annuities and deposits to the total admitted assets is less than.30;
(iii) the ratio of the book value of the noninvestment grade bonds to the sum of capital and surplus is less than.50; and
(iv) the examiner team for the NAIC has not designated the company as a first priority company in any of the two calendar years coincident with and immediately preceding the calendar year end for which the actuarial opinion is applicable, or a second priority company in each of the two calendar years coincident with and immediately preceding the calendar year end for which the actuarial opinion is applicable, or the company has resolved the first or second priority status to the satisfaction of the insurance regulator of the state of domicile and such insurance regulator has so notified the chair of the NAIC Life and Health Actuarial Task Force and the NAIC Staff and Support Office. Note: when the examiner team in the spring of a calendar year designates a priority, such designation is generally based on the preceding year. For example, to determine whether an actuarial opinion and memorandum is required for the 1994 year end under this test, the actuary should look at the examiner designation made in 1993 and 1994 generally based on the 1992 and 1993 year end data.
(2) Any category B company that, for any year beginning with the year in which this Part becomes effective, meets all of the following criteria shall be eligible for exemption from submission of a statement of actuarial opinion in accordance with section 95.8 of this Part for the year in which the criteria are met. The ratios in subparagraphs (i), (ii) and (iii) of this paragraph shall be calculated based on amounts as of the end of the calendar year for which the actuarial opinion is applicable.
(i) the ratio of the sum of capital and surplus to the sum of total admitted assets is at least equal to.07;
(ii) the ratio of the sum of the reserves and liabilities for annuities and deposits to the total admitted assets is less than.40;
(iii) the ratio of the book value of the noninvestment grade bonds to the sum of capital and surplus is less than.50; and
(iv) the examiner team for the NAIC has not designated the company as a first priority company in any of the two calendar years coincident with and immediately preceding the calendar year end for which the actuarial opinion is applicable, or a second priority company in each of the two calendar years coincident with and immediately preceding the calendar year end for which the actuarial opinion is applicable, or the company has resolved the first or second priority status to the satisfaction of the insurance regulator of the state of domicile and such insurance regulator has so notified the chair of the NAIC Life and Health Actuarial Task Force and the NAIC Staff and Support Office. Note: When the examiner team in the spring of a calendar year designates a priority, such designation is generally based on the preceding year. For example, to determine whether an actuarial opinion and memorandum is required for the 1994 year end under this test, the actuary should look at the examiner designation made in 1993 and 1994 generally based on the 1992 and 1993 year end data.
(3) Any category A or category B company that meets all the criteria set forth in paragraph (1) or (2) of this subdivision, whichever is applicable, is exempted from submission of a statement of actuarial opinion in accordance with section 95.8 of this Part.
(4) Any category A or category B company that, for any year beginning with the year in which this Part becomes effective, is not exempted under paragraph (3) of this subdivision shall be required to submit a statement of actuarial opinion in accordance with section 95.8 of this Part for the year for which it is not exempt.
(5) Any category C company that, after submitting an opinion in accordance with section 95.8 of this Part, meets all of the following criteria shall not be required, unless required in accordance with paragraph (6) of this subdivision, to submit a statement of actuarial opinion in accordance with section 95.8 of this Part more frequently than every third year. Any category C company which fails to meet all of the following criteria for any year shall submit a statement of actuarial opinion in accordance with section 95.8 of this Part for that year. The ratios in subparagraphs (i), (ii) and (iii) of this paragraph shall be calculated based on amounts as of the end of the calendar year for which the actuarial opinion is applicable.
(i) the ratio of the sum of capitol and surplus to the total admitted assets is at least equal to.05;
(ii) the ratio of the sum of the reserves and liabilities for annuities and deposits to the total admitted assets is less than.50;
(iii) the ratio of the book value of the noninvestment grade bonds to the sum of the capital and surplus is less than.50; and
(iv) the examiner team for the NAIC has not designated the company as a first priority company in any of the two calendar years coincident with and immediately preceding the calendar year end for which the actuarial opinion is applicable, or a second priority company in each of the two calendar years coincident with and immediately preceding the calendar year end for which the actuarial opinion is applicable, or the company has resolved the first or second priority status to the satisfaction of the insurance regulator of the state of domicile and such insurance regulator has so notified the chair of the NAIC Life and Actuarial Task Force and the NAIC Staff and Support Office. Note: when the examiner team in the spring of a calendar year designates a priority, such designation is generally based on the preceding year. For example, to determine whether an actuarial opinion and memorandum is required for the 1994 year end under this test, the actuary should look at the examiner designation made in 1993 and 1994 generally based on the 1992 and 1993 year end data.
(6) Any company which is not required by this section to submit a statement of actuarial opinion in accordance with section 95.8 of this Part for any year, shall submit a statement of actuarial opinion in accordance with section 95.7 of this Part for that year unless as provided for by section 95.3(c) of this Part the superintendent requires a statement of actuarial opinion in accordance with section 95.8 of this Part.
(d) Large companies.
Every category D company shall submit a statement of actuarial opinion in accordance with section 95.8 of this Part for each year beginning with the year in which this Part becomes effective.
11 CRR-NY 95.6
Current through June 30, 2021
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IMPORTANT NOTE REGARDING CONTENT CURRENCY: The "Current through" date indicated immediately above is the date of the most recently produced official NYCRR supplement covering this rule section. For later updates to this section, if any, please: consult editions of the NYS Register published after this date; or contact the NYS Department of State Division of Administrative Rules at [email protected]. See Help for additional information on the currency of this unofficial version of NYS Rules.