31.08.09.13

.13 Annual Submission of Financial Reports and Other Reports.

A. On or before 90 days following the end of a group's fiscal year, each group shall submit to the Commissioner a fiscal year-end audited financial report, prepared by an independent certified public accountant, in conformity with generally accepted accounting principles, which shall be on a form prescribed by the Commissioner which shall include, but not be limited to:

(1) Actuarially appropriate reserves for:

(a) Known claims and expenses associated with them;

(b) Claims incurred but not reported and expenses associated with them;

(c) Unearned premiums; and

(d) Bad debts, for which reserves shall be shown as liabilities;

(2) An actuarial opinion in compliance with the current edition of the Financial Analysis Handbook published by the National Association of Insurance Commissioners and given by a member of the American Academy of Actuaries or a person who has otherwise demonstrated his or her actuarial competence to the satisfaction of the Commissioner, regarding reserves for:

(a) Known claims and expenses associated with them; and

(b) Claims incurred but not reported and expenses associated with them.

B. A copy of a groupís excess insurance policy for the current calendar year shall be submitted with the fiscal year-end audited financial report required by §A of this regulation.

C. On or before 90 days following the end of a group's fiscal year, each group shall submit to the Commissioner a report, in a format acceptable to the Commissioner, regarding the financial condition of each member based on the memberís most recent fiscal year-end data, containing the information described in COMAR 31.08.09.08C(15). The report shall be signed by an executive officer of the group.