CAS Exam 6-USRegulation & Financial Reporting (United States)

An insurer's Total Adjusted Capital is 180% of its Authorized Control Level RBC. Which regulatory action level applies?

Schedule P Part 2 shows total incurred losses and DCC for prior accident years of 45.0M at the prior year-end and 47.5M at the current year-end. Prior year-end surplus was 12.0M. Calculate IRIS ratio 11 (one-year reserve development to surplus) and state whether it is unusual.

An appointed actuary concludes that carried reserves are within the range of reasonable estimates but that there is a significant risk of material adverse deviation. Which opinion type and disclosure are required?

Compared to GAAP, an insurer's statutory policyholders' surplus is typically lower primarily because statutory accounting:

Describe four rate regulatory systems used in U.S. states, and for each give one advantage and one disadvantage from an insurer's perspective.

An insurer's Total Adjusted Capital is 15,000,000 and its Authorized Control Level RBC is 6,000,000. Calculate the RBC ratio and identify the applicable action level.

A residual market mechanism that assigns risks unable to obtain coverage voluntarily to insurers in proportion to their market share is called a(n):

State guaranty funds primarily exist to:

Under the relevant U.S. actuarial standards, an appointed actuary's Statement of Actuarial Opinion states that carried reserves fall below the low end of the actuary's range of reasonable estimates. This opinion is classified as:

Explain the purpose of the McCarran-Ferguson Act (1945) for U.S. insurance regulation, and describe two ways subsequent federal legislation or court decisions have narrowed the scope of the antitrust exemption it provides.