The Blanks Working Group (“BWG”) held a conference call on May 23, 2024, to review and consider the adoption of twelve previously exposed positions. Of those twelve items, eleven were adopted. The other item was re-exposed until July 8, 2024, to allow for further comments and discussion.
Adopted Items
The items below were adopted with minor editorial updates and/or with additional comments (i.e. friendly amendments) from the BWG, regulators, or other interested parties. All adoptions are applicable to either the Life/Fraternal, Property, Health, Title blanks, as specified by “L” for Life/Fraternal, “P” for Property, “H” for Health, and “T” for Title, or some combination thereof. Adopted items are effective for the 2024 Annual Statement, except where noted differently.
- 2023-12BWG Modified: This item updates the Schedule BA categories per the Statutory Accounting Principles Working Group (SAPWG) bond project and clarifies/streamlines reporting on Schedule BA. The focus is to categorize debt securities on Schedule BA that do not qualify as bonds under SSAP No. 26R – Bonds or SSAP No. 43R – Asset-Backed Securities and are captured in scope of SSAP No. 21R – Other Invested Assets. The Asset Valuation Reserve – Equity and Other Invested Asset Component instructions and blank will be modified to capture the new Schedule BA line numbers for the category updates. This item is effective 1st Quarter 2025. (L/P/H/T/SA)
- 2024-01BWG: This item updates the Investment Schedules General Instructions to identify that common and preferred stock residual interests should be reported on Schedule BA. This item is associated with SAPWG Ref #2023-23. (L/P/H/T/SA)
- 2024-02BWG Modified: This item removes categories from Schedule DA, Part 1 and Schedule E, Part 2 that should be reported on Schedule BA. It adds clarifying instructions on what should be included in Other Short-Term and Other Cash Equivalent categories. This item is effective 1st Quarter 2025. (L/P/H/T/SA)
- 2024-03BWG Modified: This item adds clarification on what should be reported in interrogatory question 35 for private letter rating securities. Historically, there has been inconsistent reporting for this interrogatory. The new instructions should help identify what needs to be reported. (L/P/H/T)
- 2024-04BWG: This item adds clarifying language to the Annual Statement instructions for the VM-20 Supplement to include Separate Accounts where applicable. (L)
- 2024-05BWG: This item adds clarifying language to General Interrogatories, Part 1 question 29.05 (Annual) and 17.5 (Quarterly) to clarify that all investment advisors with discretion to make investment decisions, including sub-advisors, should be disclosed through the interrogatory. (L/P/H/T)
- 2024-06BWG: For Property/Casualty insurers, this modification limits the requirement to send qualification documentation to the Board of Directors only at the initial appointment and not annually thereafter. For Title insurers, this item updates the title instructions so they are similar to the Property instructions. (P/T)
- 2024-07BWG: This item updates the illustration under the new Note 5.S(A) – Investments for Net Negative (Disallowed) Interest Maintenance Reserve (IMR) to add a Separate Account breakout. It will also add a new general interrogatory for a company attestation for Separate Accounts. This item is associated with 2023-13BWG adopted earlier in 2024. (L/P/H/T/SA)
- 2024-08BWG: This item updates the instructions for Interest Maintenance Reserve and Asset Valuation Reserve to include specific guidance for NAIC Designation Changes for Debt Securities (excluding LBSS), Mortgage Loans and perpetual preferred stocks. This item is associated with the SAWPG revisions in Ref #2023-15 (adopted 12/1/2023) and Ref #2023-29 (adopted 3/16/2024. (L)
- 2024-09BWG Modified: This item adds a new data-captured note to Note 5 – Investments (Note 5.T) to report aggregate collateral loans by qualifying investment collateral to coincide with the SAPWG’s disclosure on Collateral Loan Reporting (Ref #2023-28, adopted 2/20/2024). A cross-check will be added to tie the aggregate collateral loan total to Schedule BA, Part 1, Column 12. (L/P/H/T/SA)
- 2024-10BWG Modified: This item removes the Affordable Care Act (SSAP No. 107 – Risk Sharing Provisions of the Affordable Care Act) disclosures on the transitional reinsurance program and the risk corridors program from Note 24.E (Life/Fraternal, Health) and Note 24.F (Property). This item coincides with the SAPWG adoption of Ref #2024-13 on May 15, 2024. (L/P/H)
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