Insurance Topics | Reinsurance | NAIC Actions On June 25, 2019, the Executive (EX) Committee and Plenary adopted revisions to Model #785 and Model #786, which implement the reinsurance collateral provisions of the “Bilateral Agreement Between the United States of America and the European Union on Prudential Measures Regarding Insurance and Reinsurance” (EU Covered Agreement) and “Bilateral Agreement Between the United
Credit for Reinsurance Model Brief The revisions eliminate reinsurance collateral requirements for reinsurers that have their head office or are domiciled in any of the following “Reciprocal Jurisdictions”: an EU-member country (or any other non-U S jurisdiction) that is subject to an in-force covered agreement, thereby addressing the elimination of reinsurance collateral
Reinsurance Asset Adequacy Testing (AAT) Life Actuarial Task Force • Significant reserve decrease due to reinsurance or use of non -primary security to back reserves • Collectability risk associated with the reinsurer is significant • Perhaps consideration of affiliated status or protections such as trusts or funds withheld • Generally targeting optimistic judgment on key assumptions or more favorable
Chapter 26 Reinsurance Intermediaries - National Association of . . . binder Reinsurance intermediaries act as insurance producers in accepting any reinsurance contract or binder on behalf of an insurer The NAIC has adopted the Reinsurance Intermediary Model Act (#790), which contains a simplified registration process for nonresident reinsurance intermediaries
Statutory Issue Paper No. 75 Property and Casualty Reinsurance 9 Reinsurance recoverables on paid losses and loss adjustment expenses are reported as an asset under both statutory accounting and GAAP Reinsurance recoverables on unpaid losses and loss adjustment expenses also meet the statutory definition of an asset established in Issue Paper No 4—
Materials - Reinsurance (E) Task Force - National Association of . . . Model #786: 11 09 18 Draft Considered for Adoption by Reinsurance (E) Task Force 1 CREDIT FOR REINSURANCE MODEL REGULATION Preface to Credit for Reinsurance Models The amendments to the NAIC Credit for Reinsurance Model Law (#785) Regulation (#786) are part of a larger effort to modernize reinsurance regulation in the United States
Interpretation of the Statutory Accounting Principles (E) Working Group life reinsurance contract which is commuted and reca ptured due to a liquidation These disclosures include but are not limited to the disclosures regarding commutation, uncollectible reinsurance and anything else that is required 21 Disclosure in the reinsurance notes to the financial statements shall include additional information
Reinsurance (E) Task Force - National Association of Insurance . . . The Reinsurance (E) Task Force will: Provide a forum for the consideration of reinsurance-related issues of public policy Oversee the activities of the Reinsurance Financial Analysis (E) Working Group Coordinate with the Mutual Recognition of Jurisdictions (E) Working Group on matters regarding reinsurance
Statutory Issue Paper No. 137 Transfer of Property and Casualty . . . d Intercompany reinsurance agreements and any amendments thereto, among companies 100% owned by a common parent or ultimate controlling person provided there is no gain in surplus as a result of the transaction; or e Reinsurance and or retrocession agreements that meet the criteria of property