2020 Health Annual Statement Preparation

Virtual Training Seminar
28.5 CPE Credits Available
Presenters: Colleen Gingrich/Bruce A. Cromartie
December 7-10, 2020
10:30am Eastern
( 9:30am Central   |   8:30am Mountain   |   7:30am Pacific )
Day 1

Day One

Monday, December 7, 2020

10:30am – 10:45am

Welcome and Introductory Comments

10:45am – 12:00pm

Introduction to Statutory Accounting

This session will provide an introduction to statutory accounting, its concepts, characteristics, similarities, and differences from Generally Accepted Accounting Principles. This session will focus on Statutory Accounting Practices and Procedures including its history, background, statement of concepts and statutory hierarchy. Also included in this discussion is an overview of the NAIC structure responsible for maintaining and developing new statutory accounting doctrine.

This session also will provide a discussion and analysis of the Statements of Statutory Accounting Principles (SSAP) that provide the foundation and fundamental concepts that provide the basis for statutory accounting and reporting.

12:00pm – 1:00pm

Lunch

1:00pm – 2:15pm

Introduction to Statutory Reporting and Overview of 2020 Health Annual Statement

This Chapter provides an overview of the 2020 Health Annual Statement format and filing requirements including changes to both the instructions and the format of the 2020 Annual Statement. The Chapter also provides guidance on the initial preparations necessary for filing including transitioning from GAAP to SAP for reporting purposes; developing a SAP trial balance; and identifying key differences between SAP and GAAP accounting and reporting.

2:15pm – 3:30pm

Reporting for Accident & Health Premiums

This Chapter provides instructions on the preparation of the various exhibits used to report premium income. This Chapter also provides a cursory overview of the statutory accounting principles that provide the basis of accounting and reporting for premium income. The Schedules and Exhibits covered in this Chapter include:

  • Underwriting and Investment Exhibit, Part 1-Premiums
  • Exhibit of Premiums, Utilization, and Enrollment
  • Schedule T – Premiums and Other Considerations
  • Exhibit 1 – Enrollment by Product Type
  • Page 4 – Statement of Revenue and Expenses (in part)

3:30pm – 3:45pm

Break

3:45pm – 5:00pm

Reporting for Reinsurance

This Chapter provides instructions on the preparation of the Schedule S - Reinsurance. This Chapter also provides a cursory overview of the statutory accounting principles that provide the basis of accounting and reporting for reinsurance including a discussion basic reinsurance concepts and terminology. The Schedule S Parts covered in this Chapter include:

  • Schedule S – Part 1 – Section 2 – Reinsurance Assumed
  • Schedule S – Part 2 – Reinsurance Recoverable on Paid and Unpaid Losses
  • Schedule S – Part 3 – Section 2 – Reinsurance Ceded
  • Schedule S – Part 4 – Unauthorized Reinsurance Ceded
  • Schedule S – Part 5 – Reinsurance Ceded to Certified Reinsurers
  • Schedule S – Part 6 – Five-Year Exhibit of Reinsurance Ceded
  • Schedule S – Part 7 – Restatement of Balance Sheet to Identify Net Credit for Ceded Reinsurance

5:00pm – 6:00pm

Overview of Accounting and Reporting for Invested Assets

This Chapter provides an introduction on the preparation of the various investment schedules and related pages in the Health Annual Statement including a cursory overview of the statutory accounting principles that provide the basis of accounting and reporting for invested assets. This Chapter also provides an overview of the regulation of insurers’ invested assets including a discussion of the regulatory framework for invested assets, an overview of the NAIC’s Capital Markets and Investment Analysis Office and a discussion of NAIC designations and filing exemption requirements.

This session also will provide an overview of the Purposes and Procedures Manual of the NAIC Investment Analysis Office including changes to the 2019 Manual as well as other investment issues currently under discussion by the NAIC’s Valuation of Securities Task Force.

 

Day 2
Day 3
Day 4