CHAPTER Ins 4500 ANNUAL FINANCIAL REPORTING
Statutory Authority: RSA 400-A:15 I.; RSA 400-A:36 III, VI; RSA
400-A:36-a I; RSA 420-A:31; RSA 420-B:21; RSA 420-D:17
PART Ins 4501 Annual Financial Reporting
Ins 4501.01 Purpose
and Scope.
(a) The purpose of
this rule is to improve the New Hampshire insurance department's surveillance
of the financial condition of insurers by requiring:
(1) An annual audit of financial statements
reporting the financial position and the results of operations of insurers by
independent certified public accountants;
(2) Communication of internal control related
matters noted in an audit; and
(3) Management's report of internal control over
financial reporting.
(b) Every insurer,
as defined in Ins 4501.02, shall be subject to this rule. Insurers having direct premiums written in
this state of less than $1,000,000 in any calendar year and less than 1,000
policyholders or certificateholders of direct written
policies nationwide at the end of the calendar year shall be exempt from this
rule for the year, unless the commissioner makes a specific finding that
compliance is necessary for the commissioner to carry out statutory
responsibilities, except that insurers having assumed premiums pursuant to
contracts and/or treaties of reinsurance of $1,000,000 or more will not be so
exempt.
(c) Foreign or alien
insurers filing the audited financial reports in another state, pursuant to
that state's requirements for filing of audited financial reports, which has
been found by the commissioner to be substantially similar to the requirements
herein, are exempt from Ins 4501.03 through 4501.12 if:
(1) A copy of the audited financial report,
communication of internal control related matters noted in an audit, and the
accountant's letter of qualifications that are filed with the other state are
filed with the commissioner in accordance with the filing dates specified in
Ins 4501.03, Ins 4501.10 and Ins 4501.11, respectively. Canadian insurers may submit accountants
reports as filed with the office of the superintendent of financial
institutions, Canada; and
(2) A copy of any notification of adverse
financial condition report filed with the other state is filed with the commissioner
within the time specified in Ins 4501.09.
(d) Foreign or alien
insurers required to file management's report of internal control over
financial reporting in another state are exempt from filing the report in this
state provided the other state has substantially similar reporting requirements
and the report is filed with the commissioner of the other state within the
time specified.
(e) This rule shall
not prohibit, preclude or in any way limit the commissioner of insurance from
ordering or conducting or performing examinations of insurers under the rules
of the New Hampshire insurance department and the practices and procedures of
the New Hampshire insurance department.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.02 Definitions. The terms and definitions contained herein
are intended to provide definitional guidance as the terms are used within this
rule.
(a)
"Accountant" or "independent certified public accountant"
means an independent certified public accountant or accounting firm in good
standing with the American Institute of Certified Public Accountants (AICPA)
and in all states in which he or she is licensed to practice; for Canadian and
British companies, it means a Canadian chartered or British-chartered
accountant.
(b)
"Affiliate" of, or person "affiliated" with, a
specific person, means a person that directly, or indirectly through one or
more intermediaries, controls, or is controlled by, or is under common control
with, the person specified.
(c) "Audit
committee" means a committee, or equivalent body, established by the board
of directors of an entity for the purpose of overseeing the accounting and
financial reporting processes of an insurer or group of insurers, and audits of
financial statements of the insurer or group of insurers. The audit committee of any entity that
controls a group of insurers may be deemed to be the audit committee for one or
more of these controlled insurers solely for the purposes of this rule at the
election of the controlling person.
Refer to Ins 4501.14 (e) for exercising this election. If an audit committee is not designated by
the insurer, the insurer's entire board of directors shall constitute the audit
committee.
(d) "Audited
financial report" means and includes those items specified in Ins 4501.04.
(e)
"Indemnification" means an agreement of indemnity or a release
from liability where the intent or effect is to shift or limit in any manner
the potential liability of the person or firm for failure to adhere to
applicable auditing or professional standards, whether or not resulting part
from knowing of other misrepresentations made by the insurer or its
representatives.
(f)
"Independent board member" has the same meaning as described
in Ins 4501.13 (c).
(g)
"Insurer" means an insurer licensed or authorized under Title
XXXVII.
(h) "Group of
insurers" means those licensed insurers included in the reporting
requirements of RSA 401-B, or a set of insurers as identified by management,
for the purpose of assessing the effectiveness of internal control over
financial reporting.
(i) "Internal control over financial
reporting" means a process effected by an entity's board of directors,
management and other personnel designed to provide reasonable assurance
regarding the reliability of the financial statements, i.e., those items
specified in Ins 4501.04 (b) through (g) and includes those policies and procedures
that:
(1) Pertain to the maintenance of records that,
in reasonable detail, accurately and fairly reflect the transactions and
dispositions of assets;
(2) Provide reasonable assurance that
transactions are recorded as necessary to permit preparation of the financial
statements, i.e., those items specified in Ins 4501.04 (b) through (g) and that
receipts and expenditures are being made only in accordance with authorizations
of management and directors; and
(3) Provide reasonable assurance regarding
prevention or timely detection of unauthorized acquisition, use or disposition
of assets that could have a material effect on the financial statements, i.e.,
those items specified in Ins 4501.04 (b) through (g).
(j) "SEC"
means the United States Securities and Exchange Commission.
(k) "Section
404" means Section 404 of the Sarbanes-Oxley Act of 2002 and the SEC's
rules and regulations promulgated thereunder.
(l) "Section
404 Report" means management's report on "internal control over
financial reporting" as defined by the SEC and the related attestation
report of the independent certified public accountant as described in Ins
4501.02 (a).
(m) "SOX
Compliant Entity" means an entity that either is required to be compliant
with, or voluntarily is compliant with, all of the following provisions of the
Sarbanes-Oxley Act of 2002:
(1) The preapproval requirements of Section 201
(Section 10A(i) of the Securities Exchange Act of
1934);
(2) The audit committee independence requirements
of Section 301 (Section 10A(m)(3) of the Securities Exchange Act of 1934); and
(3) The internal control over financial reporting
requirements of Section 404 (Item 308 of SEC Regulation S-K).
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.03 General
Requirements Related to Filing and Extensions for Filing of Annual Audited
Financial Reports and Audit Committee Appointment.
(a) All insurers shall
have an annual audit by an independent certified public accountant and shall
file an audited financial report with the commissioner on or before June 1 for
the year ended December 31 immediately preceding. The commissioner may require an insurer to file
an audited financial report earlier than June 1 with 90 days advance notice to
the insurer.
(b) Extensions of
the June 1 filing date may be granted by the commissioner for 30 day periods
upon a showing by the insurer and its independent certified public accountant
of the reasons for requesting an extension and determination by the
commissioner of good cause for an extension.
The requests for extension shall be submitted in writing not less than
10 days prior to the due date in sufficient detail to permit the commissioner
to make an informed decision with respect to the requested extension.
(c) If an extension
is granted in accordance with the provisions in Ins 4501.03 (b), a similar
extension of 30 days is granted to the filing of management's report of
internal control over financial reporting.
(d) Every insurer
required to file an annual audited financial report pursuant to this rule shall
designate a group of individuals as constituting its audit committee, as
defined in Ins 4501.02. The audit
committee of an entity that controls an insurer may be deemed to be the
insurer's audit committee for purposes of this rule at the election of the
controlling person.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.04 Contents
of Annual Audited Financial Report.
(a) The annual
audited financial report shall report the financial position of the insurer as
of the end of the most recent calendar year and the results of its operations, cash
flows and changes in capital and surplus for the year then ended in conformity
with statutory accounting practices prescribed, or otherwise permitted, by the
insurance department of the state of domicile.
(b) The annual
audited financial report shall including the following:
(1) Report of independent certified public
accountant;
(2) Balance sheet reporting admitted assets,
liabilities, capital and surplus;
(3) Statement of operations;
(4) Statement of cash flows;
(5) Statements of changes in capital and surplus;
(6) Notes to financial statements. These notes shall be those required by the
appropriate NAIC Annual Statement Instructions and the NAIC Accounting
Practices and Procedures Manual. The
notes shall include a reconciliation of differences, if any, between the
audited statutory financial statements and the annual statement filed pursuant
to RSA 400-A:36 with a written description of the nature of these differences;
and
(7) The financial statements included in the
audited financial report shall be prepared in a form and using language and
groupings substantially the same as the relevant sections of the annual
statement of the insurer filed with the commissioner, and the financial
statement shall be comparative, presenting the amounts as of December 31 of the
current year and the amounts as of the immediately preceding December 31. However, in the first year in which an
insurer is required to file an audited financial report, the comparative data
may be omitted.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.05 Designation
of Independent Certified Public Accountant.
(a) Each insurer
required by this rule to file an annual audited financial report shall within 60
days after becoming subject to the requirement, register with the commissioner
in writing the name and address of the independent certified public accountant
or accounting firm retained to conduct the annual audit set forth in this rule. Insurers not retaining an independent
certified public accountant on the effective date of this rule shall register
the name and address of their retained independent certified public accountant
not less than 6 months before the date when the first audited financial report
is to be filed.
(b) The insurer
shall obtain a letter from the accountant, and file a copy with the
commissioner stating that the accountant is aware of the provisions of the
insurance laws and the rules of the insurance department of the state of domicile
that relate to accounting and financial matters and affirming that the
accountant will express his or her opinion on the financial statements in terms
of their conformity to the statutory accounting practices prescribed or
otherwise permitted by that insurance department, specifying such exceptions as
he or she may believe appropriate.
(c) If an accountant
who was the accountant for the immediately preceding filed audited financial
report is dismissed or resigns, the insurer shall within 5 business days notify
the commissioner of this event. The
insurer shall also furnish the commissioner with a separate letter within 10
business days of the above notification stating whether in the 24 months
preceding such event there were any disagreements with the former accountant on
any matter of accounting principles or practices, financial statement
disclosure, or auditing scope or procedure; which disagreements, if not
resolved to the satisfaction of the former accountant, would have caused him or
her to make reference to the subject matter of the disagreement in connection
with his or her opinion. The
disagreements required to be reported in response to this section include both
those resolved to the former accountant's satisfaction and those not resolved
to the former accountant's satisfaction.
Disagreements contemplated by this section are those that occur at the
decision-making level, i.e., between personnel of the insurer responsible for
presentation of its financial statements and personnel of the accounting firm
responsible for rendering its report.
The insurer shall also in writing request the former accountant to
furnish a letter addressed to the insurer stating whether the accountant agrees
with the statements contained in the insurer's letter and, if not, stating the
reasons for which he or she does not agree; and the insurer shall furnish the
responsive letter from the former accountant to the commissioner together with
its own.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.06 Qualifications
of Independent Certified Public Accountant.
(a) The commissioner
shall not recognize a person or firm as a qualified independent certified
public accountant if the person or firm:
(1) Is not in good standing with the AICPA and in
all states in which the accountant is licensed to practice, or, for a Canadian
or British company, that is not a chartered accountant; or
(2) Has either directly or indirectly entered into
an agreement of indemnity or release from liability, collectively referred to
as indemnification, with respect to the audit of the insurer.
(b) Except as
otherwise provided in this rule, the commissioner shall recognize an
independent certified public accountant as qualified as long as he or she
conforms to the standards of his or her profession, as contained in the code of
professional ethics of the AICPA and rules and regulations and code of ethics
and rules of professional conduct under RSA 309-B New Hampshire accountancy
act.
(c) A qualified
independent certified public accountant may enter into an agreement with an
insurer to have disputes relating to an audit resolved by mediation or
arbitration. However, in the event of a
delinquency proceeding commenced against the insurer under RSA 402-C, the
mediation or arbitration provisions shall operate at the option of the
statutory successor.
(d) (1) The lead, or coordinating, audit partner,
having primary responsibility for the audit, may not act in that capacity for
more than 5 consecutive years. The
person shall be disqualified from acting in that or a similar capacity for the
same company or its insurance subsidiaries or affiliates for a period of 5 consecutive
years. An insurer may make application
to the commissioner for relief from the above rotation requirement on the basis
of unusual circumstances. This
application should be made at least 30 days before the end of the calendar
year. The commissioner may consider the
following factors in determining if the relief should be granted:
a. Number of partners, expertise of the partners
or the number of insurance clients in the currently registered firm;
b. Premium volume of the insurer; or
c. Number of jurisdictions in which the insurer transacts
business; and
(2) The insurer shall file, with its annual
statement filing, the approval for relief from (d)(1) with the states that it
is licensed in or doing business in and with the NAIC. If the nondomestic state accepts electronic
filing with the NAIC, the insurer shall file the approval in an electronic
format acceptable to the NAIC.
(e) The commissioner
shall neither recognize as a qualified independent certified public accountant,
nor accept an annual audited financial report, prepared in whole or in part by,
a natural person who:
(1) Has been convicted of fraud, bribery, a
violation of the Racketeer Influenced and Corrupt Organizations Act, 18 U.S.C.
Sections 1961 to 1968, or any dishonest conduct or practices under federal or
state law;
(2) Has been found to have violated the insurance
laws of this state with respect to any previous reports submitted under this
rule; or
(3) Has demonstrated a pattern or practice of failing
to detect or disclose material information in previous reports filed under the
provisions of this rule.
(f) The
commissioner, pursuant to the provisions of Ins 2400, may, as provided in RSA
400-A:17, hold a hearing to determine whether an independent certified public
accountant is qualified and, considering the evidence presented, may rule that
the accountant is not qualified for purposes of expressing his or her opinion
on the financial statements in the annual audited financial report made pursuant
to this rule and require the insurer to replace the accountant with another
whose relationship with the insurer is qualified within the meaning of this
rule.
(g) (1) The commissioner shall not recognize as a
qualified independent certified public accountant, nor accept an annual audited
financial report, prepared in whole or in part by an accountant who provides to
an insurer, contemporaneously with the audit, the following non-audit services:
a. Bookkeeping or other services related to the
accounting records or financial statements of the insurer;
b. Financial information systems design and
implementation;
c. Appraisal or valuation services, fairness
opinions, or contribution-in-kind reports;
d. Actuarially-oriented advisory services
involving the determination of amounts recorded in the financial
statements. The accountant may assist an
insurer in understanding the methods, assumptions and inputs used in the
determination of amounts recorded in the financial statement only if it is
reasonable to conclude that the services provided will not be subject to audit
procedures during an audit of the insurer's financial statements. An accountant's actuary may also issue an
actuarial opinion or certification, "opinion," on an insurer's
reserves if the following conditions have been met:
1. Neither the accountant nor the accountant's
actuary has performed any management functions or made any management
decisions;
2. The insurer has competent personnel, or
engages a third party actuary, to estimate the reserves for which management
takes responsibility; and
3. The accountant's actuary tests the
reasonableness of the reserves after the insurer's management has determined
the amount of the reserves;
e. Internal audit outsourcing services;
f. Management functions or human resources;
g. Broker or dealer, investment adviser, or
investment banking services;
h. Legal services or expert services unrelated
to the audit; or
i. Any other services that the commissioner
determines, by rule, are impermissible.
(2) In general, the principles of independence
with respect to services provided by the qualified independent certified public
accountant are largely predicated on 3 basic principles, violations of which
would impair the accountant's independence.
The principles are that the accountant cannot function in the role of
management, cannot audit his or her own work, and cannot serve in an advocacy
role for the insurer.
(h) Insurers having
direct written and assumed premiums of less than $100,000,000 in any calendar
year may request an exemption from (g)(1).
The insurer shall file with the commissioner a written statement
discussing the reasons why the insurer should be exempt from these provisions. If the commissioner finds, upon review of this
statement, that compliance with this rule would constitute a financial or
organizational hardship upon the insurer, an exemption may be granted.
(i) A qualified independent certified public
accountant who performs the audit may engage in other non-audit services,
including tax services, that are not described in (g)(1) or that do not
conflict with (g)(2), only if the activity is approved in advance by the audit
committee, in accordance with (j) below.
(j) All auditing
services and non-audit services provided to an insurer by the qualified
independent certified public accountant of the insurer shall be preapproved by
the audit committee. The preapproval
requirement is waived with respect to non-audit services if the insurer is a
SOX compliance entity or a direct or indirect wholly-owned subsidiary of a SOX
compliant entity or:
(1) The aggregate amount of all such non-audit
services provided to the insurer constitutes not more than 5 percent of the total
amount of fees paid by the insurer to its qualified independent certified
public accountant during the fiscal year in which the non-audit services are
provided;
(2) The services were not recognized by the
insurer at the time of the engagement to be non-audit services; and
(3) The services are promptly brought to the
attention of the audit committee and approved prior to the completion of the
audit by the audit committee or by one or more members of the audit committee
who are the members of the board of directors to whom authority to grant such
approvals has been delegated by the audit committee.
(k) The audit
committee may delegate to one or more designated members of the audit committee
the authority to grant the preapprovals required by (j) above. The decisions of any member to whom this
authority is delegated shall be presented to the full audit committee at each
of its scheduled meetings.
(l) (1) The commissioner shall not recognize an
independent certified public accountant as qualified for a particular insurer
if a member of the board, president, chief executive officer, controller, chief
financial officer, chief accounting officer, or any person serving in an
equivalent position for that insurer, was employed by the independent certified
public accountant and participated in the audit of that insurer during the
one-year period preceding the date that the most current statutory opinion is
due. This section shall only apply to
partners and senior managers involved in the audit. An insurer may make application to the
commissioner for relief from the above requirement on the basis of unusual
circumstances; and
(2) The insurer shall file, with its annual
statement filing, the approval for relief from (l)(1) with the states that it
is licensed in or doing business in and the NAIC. If the nondomestic state accepts electronic
filing with the NAIC, the insurer shall file the approval in an electronic
format acceptable to the NAIC.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.07 Consolidated
or Combined Audits. An insurer may
make written application to the commissioner for approval to file audited
consolidated or combined financial statements in lieu of separate annual audited
financial statements if the insurer is part of a group of insurance companies
that utilizes a pooling or 100 percent reinsurance agreement that affects the
solvency and integrity of the insurer's reserves and the insurer cedes all of
its direct and assumed business to the pool.
In such cases, a columnar consolidating or combining worksheet shall be
filed with the report, as follows:
(a) Amounts shown on
the consolidated or combined audited financial report shall be shown on the
worksheet;
(b) Amounts for each
insurer subject to this section shall be stated separately;
(c) Noninsurance
operations may be shown on the worksheet on a combined or individual basis;
(d) Explanations of
consolidating and eliminating entries shall be included; and
(e) A reconciliation
shall be included of any differences between the amounts shown in the
individual insurer columns of the worksheet and comparable amounts shown on the
annual statements of the insurers.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.08 Scope
of Audit and Report of Independent Certified Public Accountant. Financial statements furnished pursuant to
Ins 4501.04 shall be examined by the independent certified public
accountant. The audit of the insurer's
financial statements shall be conducted in accordance with generally accepted
auditing standards. In accordance with
AU Section 319 of the Professional Standards of the AICPA, Consideration of Internal Control in a Financial Statement Audit,
available as referenced in Appendix B, the independent certified public
accountant should obtain an understanding of internal control sufficient to
plan the audit. To the extent required
by AU 319, for those insurers required to file a management's report of
internal control over financial reporting pursuant to Ins 4501.15, the
independent certified public accountant should consider, as that term is
defined in Statement on Auditing Standards (SAS) No. 102, Defining Professional Requirements in Statements on Auditing Standards
or its replacement, the most recently available report in planning and
performing the audit of the statutory financial statements, and available as
referenced in Appendix B. Consideration
shall be given to the procedures illustrated in the Financial Condition Examiners Handbook promulgated by the National
Association of Insurance Commissioners, and available as referenced in Appendix
A, as the independent certified public accountant deems necessary.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.09 Notification
of Adverse Financial Condition.
(a) The insurer
required to furnish the annual audited financial report shall require the
independent certified public accountant to report, in writing, within 5
business days to the board of directors or its audit committee any
determination by the independent certified public accountant that the insurer
has materially misstated its financial condition as reported to the
commissioner as of the balance sheet date currently under audit or that the
insurer does not meet the minimum capital and surplus requirement of the New
Hampshire insurance code as of that date.
An insurer that has received a report pursuant to this paragraph shall
forward a copy of the report to the commissioner within 5 business days of
receipt of the report and shall provide the independent certified public
accountant making the report with evidence of the report being furnished to the
commissioner. If the independent
certified public accountant fails to receive the evidence within the required 5
business day period, the independent certified public accountant shall furnish
to the commissioner a copy of its report within the next 5 business days.
(b) No independent
certified public accountant shall be liable in any manner to any person for any
statement made in connection with the above paragraph if the statement is made
in good faith in compliance with (a) above.
(c) If the
accountant, subsequent to the date of the audited financial report filed
pursuant to this rule, becomes aware of facts that might have affected his or
her report, the commissioner notes the obligation of the accountant to take
such actions as prescribed in Volume 1, Section AU 561 of the Professional
Standards of the AICPA, available as referenced in Appendix A.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.10 Communication
of Internal Control Related Matters Noted in an Audit.
(a) In addition to
the annual audited financial report, each insurer shall furnish the
commissioner with a written communication as to any unremediated
material weaknesses in its internal controls over financial reporting noted
during the audit. Such communication
shall be prepared by the accountant within 60 days after the filing of the
annual audited financial report, and shall contain a description of any unremediated material weakness, as the term material
weakness is defined by Statement on Auditing Standards No. 60, Communication of Internal Control Related
Matters Noted in an Audit, available as referenced in Appendix A, or its
replacement, as of December 31 immediately preceding, so as to coincide with
the audited financial report discussed in Ins 4501.03 (a) in the insurer's
internal control over the financial statements.
If no unremediated material weaknesses were
noted, the communication should so state.
(b) The insurer is
required to provide a description of remedial actions taken or proposed to
correct unremediated material weaknesses, if the
actions are not described in the accountant's communication.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.11 Accountant's
Letter of Qualifications. The
accountant shall furnish the insurer in connection with, and for inclusion in,
the filing of the annual audited financial report, a letter stating:
(a) That the
accountant is independent with respect to the insurer and conforms to the
standards of his or her profession as contained in the code of professional
ethics and pronouncements of the AICPA and the rules of professional conduct of
RSA 309-B New Hampshire Accountancy Act, or similar code;
(b) The background
and experience in general, and the experience in audits of insurers of the
staff assigned to the engagement and whether each is an independent certified
public accountant. Nothing within this
rule shall be construed as prohibiting the accountant from utilizing such staff
as he or she deems appropriate where use is consistent with the standards
prescribed by generally accepted auditing standards;
(c) That the
accountant understands the annual audited financial report and his opinion
thereon will be filed in compliance with this rule and that the commissioner
will be relying on this information in the monitoring and regulation of the
financial position of insurers;
(d) That the accountant
consents to the requirements of Ins 4501.12 and that the accountant consents
and agrees to make available for review by the commissioner, or the
commissioner's designee or appointed agent, the workpapers,
as defined in Ins 4501.12;
(e) A representation
that the accountant is properly licensed by an appropriate state licensing
authority and is a member in good standing in the AICPA; and
(f) A representation
that the accountant is in compliance with the requirements of Ins 4501.06.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.12 Definition,
Availability and Maintenance of Independent Certified Public Accountant Workpapers.
(a) Workpapers are the records kept by the independent
certified public accountant of the procedures followed, the tests performed,
the information obtained, and the conclusions reached pertinent to the
accountant's audit of the financial statements of an insurer. Workpapers,
accordingly, may include audit planning documentation, work programs, analyses,
memoranda, letters of confirmation and representation, abstracts of company
documents, and schedules or commentaries prepared or obtained by the
independent certified public accountant in the course of his or her audit of
the financial statements of an insurer and which support the accountant's
opinion.
(b) Every insurer
required to file an audited financial report pursuant to this rule, shall
require the accountant to make available for review by insurance department
examiners, all workpapers prepared in the conduct of
the accountant's audit and any communications related to the audit between the
accountant and the insurer, at the offices of the insurer, at the insurance
department or at any other reasonable place designated by the
commissioner. The insurer shall require
that the accountant retain the audit workpapers and
communications until the insurance department has filed a report on examination
covering the period of the audit but no longer than 7 years from the date of
the audit report.
(c) In the conduct
of the aforementioned periodic review by the insurance department examiners, it
shall be agreed that photocopies of pertinent audit workpapers
may be made and retained by the department.
Such reviews by the department examiners shall be considered
investigations and all working papers and communications obtained during the
course of such investigations shall be afforded the same confidentiality as
other examination workpapers generated by the
department.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.13 Requirements
for Audit Committees. This section
shall not apply to foreign or alien insurers licensed in this state or an
insurer that is a SOX compliant entity or a direct or indirect wholly-owned
subsidiary of a SOX compliant entity.
(a) The audit
committee shall be directly responsible for the appointment, compensation and
oversight of the work of any accountant, including resolution of disagreements
between management and the accountant regarding financial reporting, for the
purpose of preparing or issuing the audited financial report or related work
pursuant to this rule. Each accountant
shall report directly to the audit committee.
(b) Each member of
the audit committee shall be a member of the board of directors of the insurer
or a member of the board of directors of an entity elected pursuant to (e)
below and Ins 4501.02 (c).
(c) In order to be
considered independent for purposes of this section, a member of the audit
committee may not, other than in his or her capacity as a member of the audit
committee, the board of directors, or any other board committee, accept any
consulting, advisory or other compensatory fee from the entity or be an
affiliated person of the entity or subsidiary thereof. However, if law requires board participation
by otherwise non-independent members, that law shall prevail and such members
may participate in the audit committee and be designated as independent for
audit committee purposes, unless they are an officer or employee of the insurer
or one of its affiliates.
(d) If a member of
the audit committee ceases to be independent for reasons outside the member's
reasonable control, that person, with notice by the responsible entity to the
state, may remain an audit committee member of the responsible entity until the
earlier of the next annual meeting of the responsible entity or one year from
the occurrence of the event that caused the member to be no longer independent.
(e) To exercise the
election of the controlling person to designate the audit committee for
purposes of this rule, the ultimate controlling person shall provide written
notice to the commissioners of the affected insurers. Notification shall be made timely prior to
the issuance of the statutory audit report and include a description of the
basis for the election. The election can
be changed through notice to the commissioner by the insurer, which shall
include a description of the basis for the change. The election shall remain in effect for
perpetuity, until rescinded.
(f) (1) The audit committee shall require the
accountant that performs for an insurer any audit required by this rule to
timely report to the audit committee in accordance with the requirements of SAS
61, Communication with Audit Committees,
available as referenced in Appendix B, or its replacement, including:
a. All significant accounting policies and
material permitted practices;
b. All material alternative treatments of
financial information within statutory accounting principles that have been
discussed with management officials of the insurer, ramifications of the use of
the alternative disclosures and treatments, and the treatment preferred by the
accountant; and
c. Other material written communications between
the accountant and the management of the insurer, such as any management or
schedule of unadjusted differences.
(2) If the insurer is a member of an insurance
holding company system, the reports required by (f)(1) above may be provided to
the audit committee on an aggregate basis for insurers in the holding company
system, provided that any substantial differences among insurers in the system
are identified to the audit committee.
(g) The proportion
of independent audit committee members shall meet or exceed the following
criteria:
|
Prior Calendar Year Direct Written and Assumed Premiums |
||
|
$0 - $300,000,000 |
Over $300,000,000 - $500,000,000 |
Over $500,000,000 |
|
No minimum
requirements. See also Note A and B. |
Majority (50% or more) of
members shall be independent. See also
Note A and B. |
Supermajority of members
(75% or more) shall be independent.
See also Note A. |
Note A: The commissioner has authority afforded by
state law to require the entity's board to enact improvements to the
independence of the audit committee membership if the insurer is in a RBC action
level event, meets one or more of the standards of an insurer deemed to be in
hazardous financial condition, or otherwise exhibits qualities of a troubled
insurer.
Note B: All insurers with less than $500,000,000 in
prior year direct written and assumed premiums are encouraged to structure the
audit committees with at least a supermajority of independent audit committee
members.
Note C. Prior calendar year direct written and
assumed premiums shall be the combined total of direct premiums and assumed
premiums from non-affiliates for the reporting entities.
(h) An insurer with
direct written and assumed premium, excluding premiums reinsured with the
Federal Crop Insurance Corporation and Federal Flood Program, less than
$500,000,000 may make application to the commissioner for a waiver from the Ins
4501.13 requirements based upon hardship.
The insurer shall file, with its annual statement filing, the approval
for relief from Ins 4501.13 with the states that it is licensed in or doing
business in and the NAIC. If the
nondomestic state accepts electronic filing with the NAIC, the insurer shall
file the approval in an electronic format acceptable to the NAIC.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.14 Internal
Audit Function Requirements.
(a) An insurer is
exempt from the requirements of this section if:
(1) The insurer has annual direct written and unaffiliated
assumed premium, including international direct and assumed premium but
excluding premiums reinsured with the Federal Crop Insurance Corporation and
Federal Flood Program, less than $500,000,000; and
(2) The insurer is a member of a group of
insurers, the group has annual direct written and unaffiliated assumed premium,
including international direct and assumed premium but excluding premiums
reinsured with the Federal Crop Insurance Corporation and Federal Flood
Program, less than $1,000,000,000.
(b) The insurer or
group of insurers shall establish an internal audit function providing
independent, objective and reasonable assurance to the audit committee and
insurer management regarding the insurer’s governance, risk management and
internal controls. This assurance shall be provided by performing general and
specific audits, reviews and tests and by employing other techniques deemed
necessary to protect assets, evaluate control effectiveness and efficiency, and
evaluate compliance with policies and regulations.
(c) In order to
ensure that internal auditors remain objective, the internal audit function
must be organizationally independent. Specifically, the internal audit function
will not defer ultimate judgment on audit matters to others and shall appoint
an individual to head the internal audit function who will have direct and
unrestricted access to the board of directors. Organizational independence does
not preclude dual-reporting relationships.
(d) The head of the
internal audit function shall report to the audit committee regularly, but no
less than annually, on the periodic audit plan, factors that may adversely
impact the internal audit function’s independence or effectiveness, material
findings from completed audits and the appropriateness of corrective actions
implemented by management as a result of audit findings.
(e) If an insurer is
a member of an insurance holding company system or included in a group of
insurers, the insurer may satisfy the internal audit function requirements set
forth in this section at the ultimate controlling parent level, an intermediate
holding company level, or the individual legal entity level.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16
Ins 4501.15 Conduct
of Insurer in Connection with the Preparation of Required Reports and Documents.
(a) No director or
officer of an insurer shall, directly or indirectly:
(1) Make or cause to be made a materially false or
misleading statement to an accountant in connection with any audit, review or
communication required under this rule; or
(2) Omit to state, or cause another person to
omit to state, any material fact necessary in order to make statements made, in
light of the circumstances under which the statements were made, not misleading
to an accountant in connection with any audit, review or communication required
under this rule.
(b) No officer or
director of an insurer, or any other person acting under the direction thereof,
shall directly or indirectly take any action to coerce, manipulate, mislead or
fraudulently influence any accountant engaged in the performance of an audit
pursuant to this rule if that person knew or should have known that the action,
if successful, could result in rendering the insurer's financial statements
materially misleading.
(c) For purposes of
(b) above, actions that, "if successful, could result in rendering the
insurer's financial statements materially misleading" include, but are not
limited to, actions taken at any time with respect to the professional
engagement period to coerce, manipulate, mislead or fraudulently influence an
accountant:
(1) To issue or reissue a report on an insurer's
financial statements that is not warranted in the circumstances, due to
material violations of statutory accounting principles prescribed by the
commissioner, generally accepted auditing standards, or other professional or
regulatory standards;
(2) Not to perform audit, review or other procedures
required by generally accepted audited standards or other professional
standards;
(3) Not to withdraw an issued report; or
(4) Not to communicate matters to an insurer's
audit committee.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16 (from Ins 4501.14)
Ins 4501.16 Management's
Report of Internal Control Over Financial Reporting.
(a) Every insurer
required to file an audited financial report pursuant to this rule that has annual
direct written and assumed premiums, excluding premiums reinsured with the
Federal Crop Insurance Corporation and Federal Flood Program, of $500,000,000
or more shall prepare a report of the insurer's or group of insurers' internal
control over financial reporting, as these terms are defined in Ins
4501.02. The report shall be filed with
the commissioner along with the communication of internal control related
matters noted in an audit described under Ins 4501.10. Management's report of internal control over
financial reporting shall be as of December 31 immediately preceding.
(b) Notwithstanding
the premium threshold in (a) above, the commissioner may require an insurer to
file management's report of internal control over financial reporting if the
insurer is in any RBC level event, or meets any one or more of the standards of
an insurer deemed to be in hazardous financial condition as defined in Ins 2900.
(c) An insurer or a
group of insurers that is:
(1) Directly subject to Section 404;
(2) Part of a holding company system whose parent
is directly subject to Section 404;
(3) Not directly subject to Section 404 but is a
SOX compliant entity; or
(4) A member of a holding company system whose
parent is not directly subject to Section 404 but is a SOX compliant entity;
may file its or its parent's
Section 404 Report and an addendum in satisfaction of this Ins 4501.16 requirement provided that those
internal controls of the insurer or group of insurer's audited statutory financial
statements, those items included in Ins 4501.04 (b) through (g), were included
in the scope of the Section 404 report.
The addendum shall be a positive statement by management that there are
no material process with respect to the preparation of the insurer's or group
of insurers' audited statutory financial statements, those items included in
Ins 4501.04 (b) through (g), excluded from the Section 404 Report. If there are internal controls of the insurer
or group of insurers that have a material impact on the preparation of the
insurer's or group of insurers' audited statutory financial statements and
those internal controls were not included in the scope of the Section 404
Report, the insurer or group of insurers may either file:
(1) An Ins 4501.16 (a) report; or
(2) The Section 404 Report and an Ins 4501.16 (a)
report for those internal controls that have a material impact on the
preparation of the insurer's or group of insurers' audited statutory financial
statements not covered by the Section 404 Report.
(d) Management's
report of internal control over financial reporting shall include:
(1) A statement that management is responsible
for establishing and maintaining adequate internal control over financial
reporting;
(2) A statement that management has established
internal control over financial reporting and an assertion, to the best of
management's knowledge and belief, after diligent inquiry, as to whether its
internal control over financial reporting is effective to provide reasonable
assurance regarding the reliability of financial statements in accordance with
statutory accounting principles;
(3) A statement that briefly describes the
approach or processes by which management evaluated the effectiveness of its
internal control over financial reporting;
(4) A statement that briefly describes the scope
of work that is included and whether any internal controls were excluded;
(5) Disclosure of any unremediated
material weaknesses in the internal control over financial reporting identified
by management as of December 31 immediately preceding. Management is not permitted to conclude that
the internal control over financial reporting is effective to provide
reasonable assurance regarding the reliability of financial statements in
accordance with statutory accounting principles if there is one or more unremediated material weaknesses in its internal control
over financial reporting;
(6) A statement regarding the inherent
limitations of internal control systems; and
(7) Signatures of the chief executive officer and
the chief financial officer, or equivalent position/title.
(e) Management shall
document and make available upon financial condition examination the basis upon
which its assertions, required in (d) above, are made. Management may base its assertions, in part,
upon its review, monitoring and testing of internal controls undertaken in the
normal course of its activities.
(1) Management shall have discretion as to the nature
of the internal control framework used, and the nature and extent of
documentation, in order to makes its assertion in a cost effective manner and,
as such, may include assembly of or reference to existing documentation; and
(2) Management's report on internal control over
financial reporting, required by (a) above, and any documentation provided in
support thereof during the course of a financial condition examination, shall
be kept confidential by the state insurance department.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16 (from Ins 4501.15)
Ins 4501.17 Exemptions
and Effective Dates.
(a) Upon written
application of any insurer, the commissioner may grant an exemption from compliance
with any and all provisions of this rule if the commissioner finds, upon review
of the application, that compliance with this rule would constitute a financial
or organizational hardship upon the insurer.
An exemption may be granted at any time and from time to time for a
specified period or periods. Within 10
days from a denial of an insurer's written request for an exemption from this
rule, the insurer may request in writing a hearing on its application for an
exemption. The hearing shall be held in
accordance with the rules of the New Hampshire Insurance Department pertaining
to administrative hearing procedures.
(b) Domestic
insurers retaining a certified public accountant on the effective date of this
rule who qualify as independent shall comply with this rule for the year ending
December 31, 2010 and each year thereafter unless the commissioner permits
otherwise.
(c) Domestic
insurers not retaining a certified public accountant on the effective date of
this rule who qualifies as independent may meet the following schedule for
compliance unless the commissioner permits otherwise.
(1) As of December 31, 2010, file with the
commissioner an audited financial report; and
(2) For the year ending December 31, 2011 and
each year thereafter, such insurers shall file with the commissioner all
reports and communication required by this rule.
(d) Foreign insurers
shall comply with this rule for the year ending December 31, 2010 and each year
thereafter, unless the commissioner permits otherwise.
(e) The requirements
of Ins 4501.06 (d) shall be in effect for audits of the year beginning January
1, 2010 and thereafter.
(f) The requirements
of Ins 4501.13 are to be in effect January 1, 2010. An insurer or group of insurers that is not required
to have independent audit committee members or only a majority of independent
audit committee members, as opposed to a supermajority, because the total
written and assumed premium is below the threshold and subsequently becomes
subject to one of the independence requirements due to changes in premium shall
have one year following the year the threshold is exceeded, but not earlier
than January 1, 2010, to comply with the independence requirements as a result
of a business combination shall have one calendar year following the date of
acquisition or combination to comply with the independence requirements.
(g) The requirements
of Ins 4501.16 and other modified sections, except for Ins 4501.13 covered
above, are effective beginning with the reporting period ending December 31,
2010 and each year thereafter. An
insurer or group of insurers that are not required to file a report because the
total written premium is below the threshold and subsequently becomes subject
to the reporting requirements shall have 2 years following the year the
threshold is exceeded, but not earlier than December 31, 2010, to file a
report. Likewise, an insurer acquired in
a business combination shall have 2 calendar years following the date of
acquisition or combination to comply with the reporting requirements.
Source. #9246, eff 1-1-09; ss
by #11171, eff 12-31-16 (from Ins 4501.16)
Ins 4501.18 Canadian
and British Companies.
(a) In the case of
Canadian and British insurers, the annual audited financial report shall be
defined as the annual statement of total business on the form filed by such
companies with their supervision authority duly audited by an independent
chartered accountant.
(b) For such
insurers, the letter required in Ins 4501.05 (b) shall state that the
accountant is aware of the requirements relating to the annual audited
financial report filed with the commissioner pursuant to Ins 4501.03 and shall
affirm that the opinion expressed is in conformity with those requirements.
Source. #11171, eff 12-31-16 (from Ins 4501.17)
PART Ins 4502 CORPORATE GOVERNANCE ANNUAL DISCLOSURE
Statutory
Authority: RSA 400-A:15, I; RSA 401-D:4;
RSA 401-D:5, II
Ins 4502.01 Purpose. The purpose of these rules is to set forth
the procedures for filing and the required contents of the Corporate Governance
Annual Disclosure (CGAD), deemed necessary by the commissioner to carry out the
provisions of RSA 401-D.
Source. #12596, eff 7-30-18
Ins 4502.02 Definitions.
(a)
“Commissioner” means the commissioner of the New Hampshire insurance
department.
(b)
“Insurance Group” means, for the purposes of this part, those insurers
and affiliates included within an insurance holding company system as defined
in RSA 401-B:1, V.
(c)
“Insurer” means “insurer” as defined under RSA 401-B:3-a, IV(b)(3)(A),
except that it shall not include agencies, authorities, or instrumentalities of
the United States, its possessions and territories, the Commonwealth of Puerto
Rico, the District of Columbia, or a state or political subdivision of a state.
(d)
“Senior Management” means any corporate officer responsible for
reporting information to the board of directors at regular intervals, or
providing this information to shareholders or regulators, and shall include,
for example and without limitation, the Chief Executive Officer
("CEO"), Chief Financial Officer ("CFO"), Chief Operations
Officer ("COO"), Chief Procurement Officer ("CPO"), Chief
Legal Officer ("CLO"), Chief Information Officer ("CIO"),
Chief Technology Officer ("CTO"), Chief Revenue Officer
("CRO"), Chief Visionary Officer ("CVO"), or any other
"C" level executive.
Source. #12596, eff 7-30-18
Ins 4502.03 Filing Procedures.
(a)
An insurer, or the insurance group of which the insurer is a member,
required to file a CGAD by RSA 401-D shall, no later than June 1 of each
calendar year, submit to the commissioner a CGAD that contains the information
described in Ins 4502.04.
(b)
The CGAD must include a signature of the insurer's or insurance group's
chief executive officer or corporate secretary attesting to the best of that
individual's belief and knowledge that the insurer or insurance group has
implemented the corporate governance practices and that a copy of the CGAD has
been provided to the insurer's or insurance group's Board of Directors
(hereafter "Board") or the appropriate committee thereof.
(c)
The insurer or insurance group shall have discretion regarding the
appropriate format for providing the information required by these rules and is
permitted to customize the CGAD to provide the most relevant information
necessary to permit the commissioner to gain an understanding of the corporate
governance structure, policies, and practices utilized by the insurer or
insurance group.
(d)
For purposes of completing the CGAD, the insurer or insurance group may
choose to provide information on governance activities that occur at the
ultimate controlling parent level, an intermediate holding company level,
and/or the individual legal entity level, depending upon how the insurer or
insurance group has structured its system of corporate governance. The insurer
or insurance group is encouraged to make the CGAD disclosures at the level at which
the insurer's or insurance group's risk appetite is determined or at which the
earnings, capital, liquidity, operations, and reputation of the insurer are
overseen collectively and at which the supervision of those factors are
coordinated and exercised, or the level at which legal liability for failure of
general corporate governance duties would be placed. If the insurer or
insurance group determines the level of reporting based on these criteria, it
shall indicate which of the three criteria was used to determine the level of
reporting and explain any subsequent changes in level of reporting.
(e)
Notwithstanding paragraph (a) above and as outlined in RSA 401-D:3, if
the CGAD is completed at the insurance group level, then it must be filed with
the lead state of the group as determined by the procedures outlined in the
Financial Analysis Handbook adopted by the NAIC. In these instances, a copy of the CGAD must
also be provided to the chief regulatory official of any state in which the
insurance group has a domestic insurer, upon request.
(f)
An insurer or insurance group may comply with this part by referencing
other existing documents (e.g., ORSA Summary Report, Holding Company Form B or
F Filings, Securities and Exchange Commission (SEC) Proxy Statements, foreign
regulatory reporting requirements, etc.) if the documents provide information
that is comparable to the information described in Ins 4502.04. The insurer or
insurance group shall clearly reference the location of the relevant
information within the CGAD and attach the referenced document if it is not
already filed or available to the regulator.
(g)
Each year following the initial filing of the CGAD, the insurer or
insurance group shall file an amended version of the previously filed CGAD
indicating where changes have been made.
If no changes were made in the information or activities reported by the
insurer or insurance group, the filing should so state.
Source. #12596, eff 7-30-18
Ins 4502.04 Contents of Corporate Governance Annual
Disclosure.
(a)
The insurer or insurance group shall be as descriptive as possible in
completing the CGAD, with inclusion of attachments or example documents that
are used in the governance process, since these may provide a means to
demonstrate the strengths of their governance framework and practices.
(b)
The CGAD shall describe the insurer's or insurance group's corporate
governance framework and structure, including consideration of the following:
(1) The Board and various committees thereof ultimately
responsible for overseeing the insurer or insurance group and the level(s) at
which that oversight occurs (e.g., ultimate control level, intermediate holding
company, legal entity, etc.). The
insurer or insurance group shall describe and discuss the rationale for the
current Board size and structure; and
(2) The duties of the Board and each of its
significant committees and how they are governed (e.g., bylaws, charters,
informal mandates, etc.), as well as how the Board's leadership is structured,
including a discussion of the roles of Chief Executive Officer (CEO) and
Chairman of the Board within the organization.
(c)
The insurer or insurance group shall describe the policies and practices
of the most senior governing entity and significant committees thereof,
including a discussion of the following factors:
(1) How the qualifications, expertise, and
experience of each Board member meet the needs of the insurer or insurance
group;
(2) How an appropriate amount of independence is
maintained on the Board and its significant committees;
(3) The number of meetings held by the Board and
its significant committees over the past year as well as information on
director attendance;
(4) How the insurer or insurance group
identifies, nominates, and elects members to the Board and its committees. The discussion should include, for example:
a. Whether a nomination committee is in place to
identify and select individuals for consideration;
b. Whether term limits are placed on directors;
c. How the election and re-election processes
function; and
d. Whether a Board diversity policy is in place
and if so, how it functions; and
(5) The processes in place for the Board to
evaluate its performance and the performance of its committees, as well as any
recent measures taken to improve performance, including any Board or committee
training programs that have been put in place.
(d)
The insurer or insurance group shall describe the policies and practices
for directing senior management, including a description of the following
factors:
(1) Any processes or practices (i.e., suitability
standards) to determine whether officers and key persons in control functions
have the appropriate background, experience, and integrity to fulfill their
prospective roles, including:
a. Identification of
the specific positions for which suitability standards have been developed and
a description of the standards employed; and
b. Any changes in an officer's or key person's
suitability as outlined by the insurer's or insurance group's standards and
procedures to monitor and evaluate such changes;
(2) The insurer's or insurance group's code of
business conduct and ethics, the discussion of which considers, for example:
a. Compliance with laws, rules, and regulations;
and
b. Proactive reporting of any illegal or
unethical behavior;
(3) The insurer's or insurance group's processes
for performance evaluation, compensation, and corrective action to ensure
effective senior management throughout the organization, including a
description of the general objectives of significant compensation programs and
what the programs are designed to reward. The description shall include
sufficient detail to allow the commissioner to understand how the organization
ensures that compensation programs do not encourage and/or reward excessive
risk taking. Elements to be discussed may include, for example:
a. The Board's role in overseeing management
compensation programs and practices;
b. The various
elements of compensation awarded in the insurer's or insurance group's
compensation programs and how the insurer or insurance group determines and
calculates the amount of each element of compensation paid;
c. How compensation programs are related to both
company and individual performance over time;
d. Whether compensation programs include risk
adjustments and how those adjustments are incorporated into the programs for
employees at different levels;
e. Any clawback
provisions built into the programs to recover awards or payments if the
performance measures upon which they are based are restated or otherwise
adjusted; and
f. Any other factors relevant in understanding
how the insurer or insurance group monitors its compensation policies to
determine whether its risk management objectives are met by incentivizing its
employees; and
(4) The insurer’s or insurance group’s plans for
CEO and senior management succession.
(e)
The insurer or insurance group shall describe the processes by which the
Board, its committees, and senior management ensure an appropriate amount of
oversight to the critical risk areas impacting the insurer's business
activities, including a discussion of:
(1) How oversight and
management responsibilities are delegated between the Board, its Committees,
and senior management;
(2) How the Board is kept informed of the
insurer's strategic plans, the associated risks, and steps that senior
management is taking to monitor and manage those risks; and
(3) How reporting responsibilities are organized
for each critical risk area. The
description should allow the commissioner to understand the frequency at which
information on each critical risk area is reported to and reviewed by senior
management and the Board. This
description may include, for example, the following critical risk areas of the
insurer:
a. Risk management processes (An ORSA Summary
Report filer may refer to its ORSA Summary Report pursuant to the Risk
Management and Own Risk and Solvency Assessment Model Act);
b. Actuarial function;
c. Investment decision-making processes;
d. Reinsurance decision-making processes;
e. Business strategy/finance decision-making
processes;
f. Compliance function;
g. Financial reporting/internal auditing; and
h. Market conduct decision-making processes.
Source. #12596, eff 7-30-18
Ins 4502.05 Severability Clause. If any provision of these rules, or the
application thereof to any person or circumstance, is held invalid, such
determination shall not affect other provisions or applications of these rules
which can be given effect without the invalid provision or application, and to
that end, the provisions of these rules are severable.
Source. #12596, eff 7-30-18
APPENDIX A –
Statutes Implemented
|
Rule |
State Statute Which the Rule Implements |
|
|
|
|
Ins 4501.01 |
RSA 400-A:36 I, III, IV; RSA
400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA 420-F:9 |
|
Ins 4501.02 |
RSA 400-A:36 I, III, IV;
RSA 400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA
420-F:9 |
|
Ins 4501.03 |
RSA 400-A:36 I, III, IV; RSA
400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA 420-F:9 |
|
Ins 4501.04 |
RSA 400-A:36 I, II, III,
IV; RSA 400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9;
RSA 420-D:7; RSA 420-F:9 |
|
Ins 4501.05 |
RSA 400-A:36 I, III, IV;
RSA 400-A:36-a; RSA 420-A:20; RSA
420-A:22; RSA 420-B:9; RSA 420-D:7; RSA 420-F:9 |
|
Ins 4501.06 |
RSA 400-A:36 I, III, IV;
RSA 400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA
420-F:9 |
|
Ins 4501.07 |
RSA 400-A:36 I, III, IV;
RSA 400-A:36-a; RSA 420-A:20; RSA
420-A:22; RSA 420-B:9; RSA 420-D:7; RSA 420-F:9 |
|
Ins 4501.08 |
RSA 400-A:36 I, III, IV;
RSA 400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA
420-F:9 |
|
Ins 4501.09 |
RSA 400-A:36, I, III, IV;
RSA 400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA
420-F:9 |
|
Ins 4501.10 |
RSA 400-A:36 I, III,
IV; RSA 400-A:36-a; RSA 420-A:20; RSA
420-A:22; RSA 420-B:9; RSA 420-D:7; RSA 420-F:9 |
|
Ins 4501.11 |
RSA 400-A:36 I, III, IV; RSA
400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA 420-F:9 |
|
Ins 4501.12 |
RSA 400-A:36 I, III, IV;
RSA 400-A:36 -a; RSA 400-A:37 |
|
Ins 4501.13 |
RSA 400-A:36 I, III, IV;
RSA 400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA
420-F:9 |
|
Ins 4501.14 |
RSA 400-A:36 I, III, IV;
RSA 400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA
420-F:9 |
|
Ins 4501.15 |
RSA 400-A:36 I, III, IV;
RSA 400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA
420-F:9 |
|
Ins 4501.16 |
RSA 400-A:36 I, III, IV;
RSA 400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA
420-F:9 |
|
Ins 4501.17 |
RSA 400-A:36 I, III, IV;
RSA 400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA
420-F:9 |
|
Ins 4501.18 |
RSA 400-A:36 I, III, IV;
RSA 400-A:36-a; RSA 420-A:20; RSA 420-A:22; RSA 420-B:9; RSA 420-D:7; RSA
420-F:9 |
|
Ins 4502.01 |
RSA 400-A:15, I; RSA
401-D:4 |
|
Ins 4502.02 |
RSA 400-A:15, I; RSA
401-B:1, V; RSA 401-B:3-a, IV(b)(3)(A); RSA 401-D:2 |
|
Ins 4502.03 |
RSA 400-A:15, I; RSA
401-D:3; RSA 401-D-4 |
|
Ins 4502.04 |
RSA 400-A:15, I; RSA
401-D-4; RSA 401-D:5 |
|
Ins 4502.05 |
RSA 400-A:15, I; RSA
401-D:4; RSA 401-D:9 |
Appendix B –
Incorporation by Reference Information
|
Rule |
Title |
Obtain: |
|
|
|
|
|
Ins 4501.08 |
Professional Standards of the AICPA, AU Section 319 |
Available for $199.00 at: http://www.aicpa.org/PUBLICATIONS/ AUTHORITATIVESTANDARDS/ PROFSTNDRDS/Pages/ Professional%20Standards.aspx |
|
Ins 4501.08 |
Statement on Auditing Standards No. 102 |
Available for no cost at: http://www.aicpa.org/Research/Standards/ AuditAttest/DownloadableDocuments/ AU-00120.pdf |
|
Ins 4501.08 |
Financial Condition Examiners Handbook |
Available for $325.00 at: http://www.naic.org/prod_serv_publications.htm#exam_handbook
|
|
Ins 4501.09(c) |
Professional Standards of the AICPA, AU Section 561 |
Available for $199.00 at: http://www.aicpa.org/PUBLICATIONS/ AUTHORITATIVESTANDARDS/ PROFSTNDRDS/Pages/ Professional%20Standards.aspx |
|
Ins 4501.10(a) |
Statement on Auditing Standards No. 60 |
Available for no cost at: https://www.aicpa.org/Research/Standards/ AuditAttest/DownloadableDocuments/ AU-C-00265.pdf |
|
Ins 4501.13(f) |
Statement on Auditing Standards No. 61 |
Available for no cost at: http://www.aicpa.org/Research/Standards/ AuditAttest/DownloadableDocuments/ AU-00380.pdf |