Exposure Drafts Outstanding
Statutory Accounting Principles Working Group
Last Updated Feb 24, 2017
SUBSTANTIVE AND NONSUBSTANTIVE EXPOSURES
|Ref No.||Issue Paper/ SSAP No./ Appendix||Title||Description|
|EXPOSURES With COMMENT DEADLINE OF MARCH 17, 2017|
SSAP No. 55
SSAP No. 65
ASU 2015-09, Financial Services - Insurance - Disclosures about Short-Duration Contracts
|Revisions, recommended by interested parties, incorporate additional disclosures from ASU 2015-09 that are not currently captured for statutory.
The proposed revisions also reject ASU 2015-09 for statutory accounting, with indication that reporting entities shall follow the established statutory accounting disclosures.
|EXPOSURES With COMMENT DEADLINE OF MARCH 10, 2017|
|Investment Classification Project
BlackRock's Systematic Valuation Methodology
[PDF] | [EXCEL]
related to “Questions Raised on BlackRock’s Calculated Valuation Proposal”
Exposed Issue Paper and draft substantively revised SSAP No. 26—Bonds.
Revisions to the issue paper and the proposed SSAP guidance reflects discussion and direction from the Jan. 24, 2017 SAPWG conference call.
Discussion of the systematic value approach is anticipated for the March 15, 2017 conference call.
|EXPOSURES With COMMENT DEADLINE OF FEB. 24, 2017|
|Special Accounting Treatment for Limited Derivatives||Current exposure requests additional information from industry. (Previously exposed Issue Paper and Illustrations included for reference.)
Project Overview - Substantive revisions, for inclusion in a new SSAP, proposing special accounting treatment for certain limited derivatives related to variable annuity products.
|2016-13||Appendix F||Policy Statement on Coordination with P&P Manual, SVO and VOSTF||Revisions to Appendix F to add a policy statement detailing the SAPWG coordination with the VOSTF and SVO.|
|2016-48||86||Impact of Future Settled Premiums on Option Valuations||Revisions to clarify the accounting and reporting of derivative contracts with deferred or financing premiums.|
|2017-01||35||Discounting of Long-Term Care Guaranty Fund Assessments||Revisions to require discounting of long-term care guaranty fund assessments and related liabilities.
Discussion anticipated on the March 15, 2017 conference call.
|N/A||Referral response to Investment Risk Based Capital||Exposure of draft SAPWG response to the IRBC request to review the bond characteristic proposal.|
|EXPOSURES With COMMENT DEADLINE OF FEB. 10, 2017|
|2010-08||Appendix F||Policy Statement on Coordination with Valuation Manual||Proposes a new policy statement on coordination with the Valuation Manual, which is consistent with the policy statement in the Valuation Manual.|
|2016-39||SSAP No. 37||Mortgage Loans with Multiple Lenders||Clarifies that a reporting entity providing a mortgage loan as a "participant in a mortgage loan agreement" shall consider the mortgage loan in scope of SSAP No. 37.|
|2016-40||SSAP No. 43R||Definition of LBSS||Proposed revisions, in accordance with a VOSTF referral, incorporate a revised definition for SSAP No. 43R securities. Comments are specifically requested on the securities that will be included / excluded from the scope of SSAP No. 43R as a result of this definition change.
Additionally, the exposure proposes revisions to SSAP No. 43R to remove old implementation guidance.
|2016-41||SSAP No. 26||AVR and IMR in SSAP No. 26||Requested regulators and industry to provide information on current practices for allocating gains and losses between AVR and IMR, as well as information on the recognition of OTTI if the security is sold in the same reporting period in which the OTTI is first identified.|
|2016-42||Appendix C||Appendix C Introduction||Updates the introduction of Appendix C in the Accounting Practices and Procedures Manual to promote consistent application of the actuarial guidelines.|
|2016-43||INT 01-25||Inflation Indexed Securities||Clarifies that the guidance in INT 01-25 is limited to direct obligations of the U.S. government.
Also requested information on the volume of foreign inflation-indexed securities held by U.S. insurance reporting entities and whether specific guidance should be developed for these securities.
|2016-44||Appendix A-791||Revisions to Appendix A-791||Incorporates additional language from the Life and Health Reinsurance Agreements Model Regulation (#791) to note that the reinsurance agreement shall constitute the entire agreement and that amendments need to be signed by all parties to be effective.|
|2016-45||SSAP No. 101||ASU 2016-16 – Intra-Entity Transfers of Assets Other than Inventory||Adopts with modification ASU 2016-16 and requires reporting entities to recognize the income tax consequences of an intra-entity transfer of an asset, other than inventory, when the transfer occurs.|
|2016-46||SSAP No. 69||ASU 2016-15 – Classification of Certain Cash Receipts and Cash Payments||Adopts ASU 2016-15 to improve consistency in reporting, as well as minimize differences between SAP and U.S. GAAP on cash flow classifications.|
|2016-47||SSAP No. 30,
SSAP No. 48,
SSAP No. 97
|ASU 2016-07 – Simplifying the Transition to the Equity Method of Accounting||Adopts with modification ASU 2016-07 and provides guidance when an investment qualifies (or no longer qualifies) for the equity method of accounting.|
Wednesday, March 15, 2017
11:00 a.m. Eastern / 10:00 a.m. Central
Call duration: 90 minutes
SAPWG Maintenance Agenda Submission Form (Form A)
See Policy Statement on SAPWG Maintenance Agenda Process for description and instruction. After completion of the Form A, please send to NAIC staff via email (see contact information below) for review. NAIC staff will send a confirmation of receipt. In order for NAIC staff to place the Form A on the Agenda, the Form A must be received no later than the comment deadline.
Updated Jan. 5, 2017
SAP to Annual Statement Disclosure Checklist Updated
for 2016 Annual Statements
Please note, in an effort to go green, the spreadsheets are spaced to view the entire width on a computer screen. At other percentages or if printing, some detail may be lost.
See Appendix F – Policy Statements of the Accounting Practices and Procedures Manual for a complete listing.
The Statutory Accounting Principles (E) Working Group is responsible for developing and adopting substantive, nonsubstantive and interpretation revisions to the NAIC Accounting Practices and Procedures Manual (AP&P Manual). The AP&P Manual provides the basis for insurers to prepare financial statements for financial regulation purposes.
Substantive statutory accounting revisions introduce original or modified accounting principles. Substantive revisions can be reflected in an existing Statement of Statutory Accounting Principles (SSAP) or a new SSAP. Nonsubstantive statutory accounting revisions are characterized as language clarifications that do not modify the original intent of a SSAP. SSAPs are considered the highest authority (Level 1) in the statutory accounting hierarchy.
An interpretation to an existing SSAP may be developed to provide timely application, interpretation or clarification guidance. Revisions classified as an interpretation shall not amend, supersede or conflict with existing, effective SSAPs. Interpretations are considered the second highest authority (Level 2) in the statutory accounting hierarchy.
Items for consideration by the Working Group can be submitted via a SAPWG Maintenance Agenda Submission Form (Form A) to the NAIC staff support listed on this Web page.
The following Subgroup reports to the Statutory Accounting Principles Working Group:
Adopted Revisions to the AP&P Manual
Statutory Accounting Principles Working Group
Last Updated: Sept. 13, 2016
For revisions adopted by the Working Group, please refer to the Accounting Practices and Procedures Manual Updates Web page