General expenses due or accrued 13. Statement as of March 31, 2019 of the MONY LIFE INSURANCE COMPANY OF AMERICA Q02 ASSETS Current Statement Date 4 1 2 3 Net Admitted December 31 Nonadmitted Assets Prior Year Net Assets Assets (Cols. Miscellaneous Income: 8.1 Income from fees associated with investment management, administration and contract guarantees from Separate Accounts 8.2 Charges and fees for deposit-type contracts Section Ins 55.02 - Accounting requirements (1) No insurer may, for reinsurance ceded, reduce any liability or establish any asset in any financial statement filed with the office of the commissioner of insurance if, by the terms of the reinsurance agreement, in substance or effect, any of the following conditions exist: (a) Renewal expense allowances provided, or to be provided, to the ceding . ABC has paid $.5 million in profit and risk � ��?����{H��a�\eCLO�~��ͻ�P������z�P�w�0��Oe~��4���R�f��������C����'y��Í��}+�n�}�p�������ֿ�桿���~kM�`+�����q;�o�?�]�����n���_�/�C�/�v���~'��m�9)������� �����_���T�މ��SUg�~����d4�X�U���/���Oe/��Vw���aw6��NwG���Ke�!�H������$�N\>>�Ž����SY7g[����օ�|)���NW{q���Td*���U�P4� S��Ό'�����q��hq�o��1�o�]�t�ɯ��Bj���E���}���ݎV�x�w���ߋ}�`t4Z��wjߗ9��[���NmE^mE��}�����P�Bo��Z8�g͵�ϫNt��n��� ��U⺪ꎭ���e8Q027������/�� �o�. Annual Statement for the year 2016 of the Great-West Life & Annuity Insurance Company 4 SUMMARY OF OPERATIONS 1 2 Current Year Prior Year 1. •The total returned premium is called an expense allowance. @,y(f`g`,c2`�cb8�p��h�U� '�l �3��bs .b�y�~W��v0Xp�Ce���t�� b? Annual Statement for the year 2020 of the The Lincoln National Life Insurance Company 4 SUMMARY OF OPERATIONS 1 2 Current Year Prior Year 1. Company ABC's annual statement would report $1.65 million (66% of($ million - $1 million - $.5 million) up to a maximum of $13.2 million) on the "Commissions and expense allowance on reinsurance ceded" line of the Summary of Operations, and -$1.65 million on the "Aggregate write-ins for gains and losses in surplus" line of the Capital and . Commissions and expense allowances on reinsurance ceded 2,641,416 Reserve adjustments on reinsurance ceded 234,990 Aggregate write-ins for miscellaneous income 1,362,378 81,902,646 Death benefits 6,563,113 Disability benefits and benefits under accident and health contracts 23,268,360 Commissions and expense allowances on reinsurance ceded (Exhibit 1, Part 2, Line 26.1, Col. 1) 702,997 889,885 7. The ceding commission may also include a profit factor for the reinsured. The experience refund would be reported separately as a miscellaneous income item in the summary of operations. General expenses due or accrued 49,955,703 62,891,183 13. �޶(V1G%��yq�}x�! Reprinted by arrangement with the publisher of this site. Commissions and expense allowances on reinsurance ceded 32,730,132 43,793,982 82,457,497 7. At the end of year N+1 the business has earned $4 million. Annual Statement for the year 2018 of the Reliance Standard Life Insurance Company 4 SUMMARY OF OPERATIONS 1 2 Current Year Prior Year 1. H��WMs�F��WL�4�a|�9)���WIIt���ɉ! The experience refund would be reported separately as a miscellaneous income item in the summary of operations. Found inside – Page 89The remaining 9.5 percent comes from commissions, expense allowances, and reserve adjustments on reinsurance ceded, ... Expenses include benefits paid, changes in policy reserves, commissions, dividends to policyholders, ... Net gain from operations equals gross income minus operating expenditures, policyholder dividends, and federal income taxes. 0000008478 00000 n Found inside – Page 7866Ceding company : The original or primary insurer who reinsures with another company who is called the reinsurer . ... earned premiums for the period be reduced by incurred losses and commissions and a stipulated allowance for expenses . 6. �Zz�9����E���kG���r���˞C��С͞C�8(S�u�c��̶�}Sl��Y�Z�X@#�,4�����An��A~ʊ�C�>D!�w? Commissions and expense allowances on reinsurance ceded 22,994,822 23,105,310 93,755,134 7. 6. Found inside$6.8 million (thirty-four percent of $20 million) is reported as income on the “Commissions and expense allowances on reinsurance ceded” line of the summary of operations. At the end of year N + 1 the business has earned $4 million. %PDF-1.4 %���� At the end of year N+1 the business has earned $4 million. be reflected on a net of tax basis in the "Reinsurance ceded" line, page 4 of the Annual Statement as earnings emerge from the business reinsured. At the end of year N+1 the business has earned $4 million. $6.8 million (34% of $20 million) is reported as income on the "Commissions and expense allowances on reinsurance ceded" line of the Summary of Operations. xref Commissions to agents due or accrued-life and annuity contracts $ 113,493,538, accident and health $ 0 and deposit-type contract funds $ 0 113,493,538 122,307,852 11. 0000002206 00000 n $13,200,000) on the "commissions and expense allowance on reinsurance ceded" line of the summary of operations, and $1,650,000 on the "aggregate write-ins for gains and losses in surplus" line of the capital and surplus account. 0000001787 00000 n Copyright (c) by Barron's Educational Series. Reserve adjustments on reinsurance ceded 8. Found inside – Page 82REINSURANCE CEDED It is necessary for a company to restrict the amount of risk it will carry on a single life in order to ... Three lines – amounts recoverable from reinsurers ( 11.1 ) , commissions and expense allowances due ( 11.2 ) ... income on the "Commissions and expense allowances on reinsurance ceded" line of the Summary of Operations. Commissions and expense allowances on reinsurance ceded 248,384 346,748 758,492 7. Found inside – Page 301171Borrowed money gross S less amount repaid $ 10 Commissions and expense allowances on reinsurance ceded 10A . Reserve adjustments on reinsurance ceded 11 . Increase lo paldin surplus 12 . Increase in ledger liabilities 13. Miscellaneous Income: 8.1 Income from fees associated with investment management, administration and contract guarantees from Separate Accounts Company ABC's annual statement would report $1.65 million (66% of ($4 million - $1 million - $.5 million) up to a maximum of $13.2 million) on the "Commissions and expense allowance on reinsurance ceded" line of the Summary of Operations, and -$1.65 million on the "Aggregate write-ins for gains and losses in surplus" line of the capital and . • The absolute level of the expense allowance can vary from reinsurer to reinsurer • The larger the expense allowance, the more attractive the reinsurance quote Found inside... direct and assumed business , general insurance expenses , insurance taxes , licenses and fees , increase in loading and other miscellaneous expenses , and exclude commissions and expense allowances received on reinsurance ceded . Overriding Commission - a) A fee or percentage of money which is paid to a party . 0 Found inside – Page 8677The ceding insurer's actuary who signs the financial statement actuarial opinion with respect to valuation of reserves ... on the " Commissions and Expenseexpense allowances on reinsurance ceded " line of the Summary of Operations . '���h�ڇ��D��w�Y��\�^E�U��L�:|��g��_O���WY� �ME�*6��W���4Kp�)n\��7���^�M?Ly��`��4�"�9���\/&�O���|N7���pʭ�����4��f�K2�_��E��䳛y"t�,�=�R��l����d���nZP^d�H�PC�f�>���*�@��)i��e�]g�|��P�>+g��3���MR2?�f��_z� ��sI�U�$��#��j�1To�Z'b��e6�~�+�O����TV���:sBȼz h7~��:a����m�� *���ܑU��%����E General expenses due or accrued 22,877,054 22,101,992 13. trailer 11. ()~OC)MSqJ �Q&NY�P �0��WA��f���_�FYC����V$��K�R�83L-� R���̡ G�a$�?�h����s*�/AB�#�1�q(���� !�Tq=�j� Reserve adjustments on reinsurance ceded 8. reinsurance commissions and expenses. Statement as of June 30, 2020 of the Erie Family Life Insurance Company Q02 ASSETS Current Statement Date 4 1 2 3 Net Admitted December 31 Nonadmitted Assets Prior Year Net Assets Assets (Cols. Surplus account. 0000085339 00000 n $6.8 million (34% of $20 million) is reported as income on the "Commissions and expense allowances on reinsurance ceded" line of the Summary of Operations. Commissions to agents due or accrued-life and annuity contracts $ 3,365 , accident and health $ 13,354 and deposit-type contract funds $ 0 16,718 669,210 11. Found inside – Page 410Form 1 ANNUAL STATEMENT FOR THE YEAR 1990 OF THE 43E ( Name ) SCHEDULE S - PART 4 CEDED REINSURANCE REPORT pihaks ... Do the luture apregale rernsurance premiums minus remsurance commissions , expense allowances and any premium ta ... 26 9 Miscellaneous Income: 8.1 Income from fees associated with investment management, administration and contract guarantees from Separate Accounts 492,536 635,086 ABC has paid $.5 million in profit and risk charges in arrears for the year and has received a $1 million experience refund. [For example, on the last day of calendar year N, company XYZ pays a $20 million initial commission and expense allowance to company ABC for reinsuring an existing block of business. Company ABC's annual statement would report $ 1.65 million (66% of ($4 million -$1 million - $.5 million) up to a maximum of $ 13.2 million) on the "Commissions and expense allowance on reinsurance ceded" line of the Summary of Operations, and -$ 1.65 million on the "Aggregate write-ins for gains and losses in surplus" line of the Capital and . John E. Tiller, 6. Found inside – Page 497V. Surplus Relief Surplus relief represents commission and expense allowances received for reinsurance ceded to another insurer . The definition comprehensive and timely document for the quantitative analysis of the 497. 0000003673 00000 n Miscellaneous Income: 8.1 Income from fees associated with investment management, administration and contract guarantees from Separate Accounts 8.2 Charges and fees for deposit-type contracts 0000005242 00000 n Copyright © 2021 AllBusiness.com All Rights Reserved. 0000003703 00000 n Commissions and expense allowances payable on reinsurance assumed 284,864 116,384 12. $6.8 million (34 percent of $20 million) is reported as income on the "Commissions and expense allowances on reinsurance ceded" line of the Summary of Operations. At the end of year N+1 the business has earned $4 million. 0000009814 00000 n Found insideThe loss , if any , recog tion ( $ 12 ) less the ceding commission ( $ 10 ) ) . ... to which the section 197 ( f ) ( 5 ) intangiTas specified policy acquisition expenses under secassumption reinsurance transaction if the ble relates . �e`|b�f`��Q` '�� endstream endobj 800 0 obj 141 endobj 768 0 obj << /Type /Page /Parent 764 0 R /Resources << /ColorSpace << /CS2 771 0 R /CS3 774 0 R >> /ExtGState << /GS2 797 0 R /GS3 796 0 R >> /Font << /TT3 769 0 R /TT4 770 0 R /TT5 780 0 R >> /ProcSet [ /PDF /Text ] >> /Contents [ 776 0 R 778 0 R 782 0 R 784 0 R 786 0 R 788 0 R 790 0 R 792 0 R ] /MediaBox [ 0 0 612 792 ] /CropBox [ 0 0 612 792 ] /Rotate 0 /StructParents 0 >> endobj 769 0 obj << /Type /Font /Subtype /TrueType /FirstChar 32 /LastChar 146 /Widths [ 250 0 408 0 500 0 0 180 333 333 500 564 250 333 250 278 500 500 500 500 500 500 500 500 500 500 278 278 0 564 0 0 0 722 667 667 722 611 556 722 722 333 389 722 611 889 722 722 556 722 667 556 611 722 722 944 722 722 611 333 0 333 0 0 0 444 500 444 500 444 333 500 500 278 278 500 278 778 500 500 500 500 333 389 278 500 500 722 500 500 444 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 333 ] /Encoding /WinAnsiEncoding /BaseFont /KOPHLJ+TimesNewRoman /FontDescriptor 772 0 R >> endobj 770 0 obj << /Type /Font /Subtype /TrueType /FirstChar 32 /LastChar 89 /Widths [ 250 0 0 0 0 0 0 0 0 0 0 0 0 333 250 0 500 500 500 500 500 500 500 500 500 500 333 0 0 0 0 0 0 722 667 722 722 667 611 778 778 389 500 778 667 944 722 778 611 778 722 556 667 722 722 1000 722 722 ] /Encoding /WinAnsiEncoding /BaseFont /KOPHON+TimesNewRoman,Bold /FontDescriptor 773 0 R >> endobj 771 0 obj [ /ICCBased 798 0 R ] endobj 772 0 obj << /Type /FontDescriptor /Ascent 891 /CapHeight 656 /Descent -216 /Flags 34 /FontBBox [ -568 -307 2000 1007 ] /FontName /KOPHLJ+TimesNewRoman /ItalicAngle 0 /StemV 94 /XHeight 0 /FontFile2 793 0 R >> endobj 773 0 obj << /Type /FontDescriptor /Ascent 891 /CapHeight 656 /Descent -216 /Flags 34 /FontBBox [ -558 -307 2000 1026 ] /FontName /KOPHON+TimesNewRoman,Bold /ItalicAngle 0 /StemV 160 /FontFile2 794 0 R >> endobj 774 0 obj /DeviceGray endobj 775 0 obj 1436 endobj 776 0 obj << /Filter /FlateDecode /Length 775 0 R >> stream 0000000957 00000 n Reserve adjustments on reinsurance ceded 8. 0000003726 00000 n million (34 percent of $20 million) is reported as income on the "commissions and expense allowances on reinsurance ceded" line of the summary of operations. 0000076059 00000 n Ceding Commission - In reinsurance, an allowance (usually a percentage of the reinsurance premium) made by the reinsurer for part or all of a ceding company's acquisition and other costs. Found inside – Page 75Expenses involved in transactions between insurance companies ( see joint expenses ; commission and brokerage ... Where commission and allowances under reinsurance ceded take the form of accurate proportions of actual expenses incurred ... 1 - 2) Admitted Assets Commissions and expense allowances on reinsurance ceded 21,722,995 20,828,645 70,329,238 7. Transfers to Separate Accounts due or accrued (net) (including $ accrued for expense allowances recognized in reserves, net of reinsured allowances) 14. 0000001861 00000 n total amount of commissions and expense allowances paid by the reinsurer to its ceding company minus the total amount of reinsurance commissions and expense allowances that, in turn, its ceding company paid on its assumption of reinsurance from another CEDENT. Commissions to agents due or accrued-life and annuity contracts $ 483,237 , accident and health $ and deposit-type contract funds $ 431,396 914,633 1,058,860 11. Reserve adjustments on reinsurance ceded (140,910) (343,412) (486,918) 8. 6. Found inside – Page 12434... MA organizations portion of commissions or allowances reflect the risk profile of each enrolled and Part D ... are per sections 1854 ( g ) and 1860D – 12 ( g ) of allowances on reinsurance ceded that adjustments to plan payment . Reserve adjustments on reinsurance ceded 8. Commissions and expense allowances on reinsurance ceded 513,499 485,359 856,997 7. Reserve adjustments on reinsurance ceded (17,231) (77,023) (392,710) 8. endstream endobj 27 0 obj<> endobj 29 0 obj<> endobj 30 0 obj<>/ProcSet[/PDF/Text]/ExtGState<>>> endobj 31 0 obj<> endobj 32 0 obj<> endobj 33 0 obj<> endobj 34 0 obj<>stream [For example, on the last day of calendar year N, company XYZ pays a $20 million initial commission and expense allowance to company ABC for reinsuring an existing block of business. 0000001071 00000 n Found inside – Page 610... invested assets sum of Items I to 10 inclusive 17,586,965 14,329.067 11 Reinsurance ceded 111 Amounts recoverable ... 112 Commissions and expense allowances due 11 ) Experience rating and other refunds due 10.950 12 cash value of ... Annual Statement for the year 2020 of the Erie Family Life Insurance Company 4 SUMMARY OF OPERATIONS 1 2 Current Year Prior Year 1. 0000007111 00000 n ceded 41,806 9.4 Interest Maintenance Reserve 5,980,820 5,410,465 10. Found inside – Page 356As earnings emerge on the business reinsured, such earnings are reflected on the ceding company's statutory annual statement as “Commissions and Expense Allowances on Reinsurance Ceded” in the summary of operations. Commissions and expense allowances payable on reinsurance assumed 12. Reserve adjustments on reinsurance ceded 8. 0000003178 00000 n 0000014025 00000 n Annual Statement for the year 2019 of the PHL VARIABLE INSURANCE COMPANY 4 SUMMARY OF OPERATIONS 1 2 Current Year Prior Year 1. Premiums and annuity considerations for life and accident and health contracts (Exhibit 1, Part 1, Line 20.4, Col. 1, less Col. 11) ...456,928,122 ...494,682,363 Commissions and expense allowances on reinsurance ceded 14,310,132 14,546,779 Commissions on premiums, annuity considerations and deposit-type contract fun 9,614,586 Commissions and expense allowances on reinsurance assumed 29,207 General insurance expenses 1,112,036 Insurance taxes, licenses and fees 4,413,950 15,169,779 (a) Renewal expense allowances provided or to be provided to the ceding insurer by the reinsurer in any accounting period, are not sufficient to cover anticipated allocable renewal expenses of the ceding insurer on the portion of the business reinsured, unless a liability is established for the present value of the shortfall (using assumptions equal to the applicable statutory reserve basis on . Found inside – Page P-46.8 million ( 34 % of $ 20 million ) is reported as income on the “ Commissions and expense allowances on reinsurance ceded ” line of the Summary of Operations . At the end of year N + 1 the business has earned $ 4 million . 28 0 obj<>stream reported as income on the "Commissions and expense allowances on reinsurance ceded" line of the Summary of Operations. Found insideCompany ABC's annual statement would report $1.65 million (66% of ($4 million-$1 million-$5 million) up to a maximum of $13.2 million) on the commissions and expense allowance on reinsurance ceded line of the Summary of Operations, ... shall be reflected on a net of tax basis in the "Reinsurance ceded" line, page 4 of the Annual Statement as earnings emerge from the business reinsured. $6.8 million (34 percent of $20 million) is reported as income on the "Commissions and expense allowances on reinsurance ceded" line of the Summary of Operations. Statement as of June 30, 2016 of the PENN MUTUAL LIFE INSURANCE COMPANY Q02 ASSETS Current Statement Date 4 1 2 3 Net Admitted December 31 Nonadmitted Assets Prior Year Net Assets Assets (Cols. total amount of commissions and expense allowances paid by the reinsurer to its ceding company minus the total amount of reinsurance commissions and expense allowances that, in turn, its ceding company paid on its assumption of . Found inside – Page 869... income on the the ceding insurer , typically on a temporary basis , while " commissions and expense allowances on reinsurance not transferring all of the significant risks inherent in the ceded " line of the summary of operations . ABC has paid $.5 million in profit and risk charges in arrears for the year and has received a $1 million experience refund. General expenses due or accrued x�b```f``�a`2�x�(�����q�a��S��{��_��n0�J�\q%����I�00�%i6 f��0�0p(,f�h�� e`p���3X 3z7 ABC has paid $.5 million in profit and risk charges in arrears for the year and has received a $1 million experience refund. Company ABC's annual statement would report $ 1.65 million (66% of ( $ 4 million - $ 1 million - $ .5 million) up to a maximum of $ 13.2 million) on the "Commissions and expense allowance on reinsurance ceded" line of the Summary of Operations, and - $ 1.65 million on the "Aggregate write-ins for gains and losses in surplus" line of the Capital . Found inside – Page 147The insurer in this situation will cede some of its business to a reinsurer . The reinsurer pays a commission and expense allowance to the ceding company for the business the 3 reinsurer is assuming . That payment usually includes a ... Commissions and expense allowances on reinsurance ceded 47,384 127,893 7. Reserve adjustments on reinsurance ceded 8. 0000001809 00000 n Reserve adjustments on reinsurance ceded 0 0 0 8. {For example, on the last day of calendar year N, company XYZ pays a $20 million initial commission and expense allowance to company ABC for reinsuring an existing block of business. income on the "Commissions and expense allowances on reinsurance ceded" line of the Summary of Operations. 0000000873 00000 n Commissions and expense allowances on reinsurance ceded (Exhibit 1, Part 2, Line 26.1, Col. 1) 7. 6. Commissions to agents due or accrued-life and annuity contracts $ 63,620 accident and health $ 365,491 and deposit-type contract funds $ 429,111 600,350 11. Found inside – Page 254Debits ( a ) The managerial allowances , producers ' commissions , and reinsurance commissions on gross net premiums ... for reinsurance ceded during the year for which the accounting is made ; ( c ) Losses and loss expenses paid during ... Found inside – Page 355Commissions and expense allowances due on reinsurance assumed are shown on a separate line. ... Details are shown in Schedule S. The effect of this liability is to reverse any credit for reinsurance ceded taken in the reserve items ... �)��4J���q]b��v���߬���-=@��gf��yvvf� oތ�����۷�.���t%H����oҖ�'5��զ����n�k��U��%i������w�h��p�ߍe�;���u�d���ç��>}Y�_�z@~����?�o�!�i�@"l�"=u™I�� �LR�ct�C-�Rف㇢%w(e.����iHK���%4��wK��d~��@N����� Found inside – Page 60... company XYZ pays a $ 20 million initial commission and expense Rate 2 ( I + CG ) allowance to company ABC for ... commissions and expense allowances on reinsurance ceded " Line 10A , Column 1 ) plus investment income due and line of ... Found inside – Page 19... Ledger Account Agents ' Balances - Ledger Account Reinsurance Ceded : Amts . Recoverable from Reinsurers - Ledger ... Capital Stock Commissions to Agents Due or Accrued Commissions and Expense Allowances Payable on Reinsurance ... Found inside – Page 101The numerator of the surplus relief ratio is " commissions and expense allowances on reinsurance ceded , " and the denominator is " capital and surplus . " The numerator is found on page 5 , column 1 , line 5 of the annual statement ... 1 - 2) Admitted Assets 0000012584 00000 n Miscellaneous Income: 8.1 Income from fees associated with investment management, administration and contract guarantees from Separate Accounts 8.2 Charges and fees for deposit-type contracts Found inside – Page 50-2Reinsurance Ceded Include : Claim adjustment expenses billed to assuming insurers . vii ) Brokers viii ) Solicitors ... 2 ) Exception : Where commission and allowances under reinsurance assumed take the form of accurate proportions of ... Miscellaneous Income: 8.1 Income from fees associated with investment management, administration and contract guarantees from Separate Accounts • The total returned premium is called an expense allowance. startxref Company ABC's annual statement would report $1.65 million (66% of ($4 million - $1 million - $.5 million) up to a maximum of $13.2 million) on the "Commissions and expense allowance on reinsurance ceded" line of the Summary of Operations, and -$1.65 million on the "Aggregate write-ins for gains and losses in surplus" line of the Capital and . Commissions and expense allowances payable on reinsurance assumed 3,183,449 312,369 12. Statement as of September 30, 2018 of the NASSAU LIFE AND ANNUITY COMPANY Q02 ASSETS Current Statement Date 4 1 2 3 Net Admitted December 31 Nonadmitted Assets Prior Year Net Assets Assets (Cols. �ƿ"�H��'?HiA�C�4-�e�(��Q�u8,5([tP�wU�㒔��7 �Pp�g;N����E�������®��;�JY�u��^�&~UU�p%��B��8�Sc� 0��B�W��P|;�p�JL��n!`4���1�x�È��9��8�[ΫO���8�{�A�0QF^���k��mVSXd��[��1v�YW��g8:�r�`t�D���uK��ME��~SW-�v��l�-�n��p��~���K�����������1R�$lA���,��j����U��֤ݺj���wݺjR�v��C�7uYm����0}Ƒ�;rGۮ [_t0|X��ME�����_��Fj�@�yUv}t���m�|=(/��J�bO] )z$m�VQ ���2��7E�zK �u�R�����}Yo�y$'�����. ABC has paid $.5 million in profit and risk charges in arrears for the year and has received a $1 million experience refund. 0000000016 00000 n Commissions and expense allowances on reinsurance ceded (Exhibit 1, Part 2, Line 26.1, Col. 1) 30,683,203 28,386,174 7. Found insideCeding company : The original or primary insurer who reinsures with another company who is called the reinsurer . ... earned premiums for the period be reduced by incurred losses and commissions and a stipulated allowance for expenses . Commissions and expense allowances payable on reinsurance assumed 12. Premiums and annuity considerations for life and accident and health contracts (Exhibit 1, Part 1, Line 20.4, Col. 1, less Col. 11) ...3,160,470,730 ...2,202,771,059 0000001785 00000 n Transfers to Separate Accounts due or accrued (net) (including $ (578) accrued for expense allowances recognized in reserves, net of reinsured allowances) 1,996,577,461 2,026,424,135 14. 0000085418 00000 n Premiums and annuity considerations for life and accident and health contracts (Exhibit 1, Part 1, Line 20.4, Col. 1, less Col. 11) ...(397,782,806) ...5,729,548,875 Found inside – Page 2436.8 million ( 34 % of $ 20 million ) is reported as income on the " Commissions and expense allowances on reinsurance ceded " line of the Summary of Operations . At the end of year N + 1 the business has earned $ 4 million . 0000000476 00000 n ABC has paid $.5 million in profit and risk charges in arrears for the year Found inside – Page 707... in the " Reinsurance ceded " line , page 4 of the Annual Statement as earnings emerge from the business reinsured . ... is reported as income on the “ Commissions and expense allowances on reinsurance ceded " line of the Summary of ... ABC has paid $.5 million in profit and risk Dictionary of Insurance Terms for: reinsurance commissions and expenses. Found inside – Page A-117... general insurance expenses, insurance taxes, licenses and fees, increase in loading and other miscellaneous expenses, and exclude commissions and expense allowances received on reinsurance ceded. • NOG to Total ted assets. Company ABC's annual statement (blue blank) would report $1.65 million (66% of ($4 million - $1 million - $0.5 million) up to a maximum of $13.2 million) on the "Commissions and expense allowance on reinsurance ceded" line of the Summary of Operations, and -$1.65 million on the "Aggregate write-ins for gains and losses in surplus" line of the . (a) Renewal expense allowances provided or to be provided to the ceding insurer by the reinsurer in any accounting period are not sufficient to cover anticipated allocable renewal expenses of the ceding insurer on the portion of the business reinsured, unless a liability is established for the present value of the shortfall (using assumptions . 6. ��J ��R�Y>ʮA! 0000014002 00000 n �A[��j)��v8�Ao��6�]���Ն��fAjM�EL`�`�����ZO!Y1�;�= ���^Q?� �� H�b```f``�b`e``�� Ȁ 6P����X�˽嘐�� return a portion of the premium to the cedant to cover agent commissions and underwriting expenses. 0000011203 00000 n ABC has paid $.5 million in profit and risk charges in arrears for the year and has received a $1 million experience refund. FRATERNAL ORDERS - ASSOCIATION EDITION *56014 2018 2010010 0* ANNUAL STATEMENT For the Year Ended December 31, 2018 of the Condition and Affairs of the Found inside – Page 249The total of this column for all plans combined is gross of reinsurance and should equal the sum of niums collected dur the year ( Exhibit 1 , Part 1 ... This replaces former column 7 , the rate of commission & expense allowance . 0000006712 00000 n 0000009791 00000 n Found inside – Page 60Agreements entered into after the effective date of this regulation which involve the reinsurance of business issued ... as income on the " Commissions and expense allowances on reinsurance ceded " line of the Summary of Operations . Total returned premium is called an expense allowance fees associated with investment management, administration and guarantees. Interest Maintenance reserve 10 77,023 ) ( 343,412 ) ( 392,710 ) 8 the end of year the... 513,499 485,359 856,997 7 12, Col. 1 ) 30,683,203 28,386,174 7 ( ). Premiums for the period be reduced by incurred losses and commissions and underwriting.. ( Exhibit 1, Part 2, line 26.1, Col. 1 ) 780,318 7... Life and health $ 365,491 and deposit-type contract funds $ 429,111 600,350.. As a miscellaneous income item in the Summary of Operations ; Hist 26.1, Col. 1 780,318! Or primary insurer who reinsures with another company who is called an expense allowance on a Separate line Operations calculated... 127,893 7 reprinted by arrangement with the publisher of this site received on ceded!, of the Reliance Standard Life Insurance company 4 Summary of Operations and exclude commissions and expense allowances payable reinsurance... Test reflects the leverage, before reinsurance assumed 12 surplus Roliet surplus relief represents represents and. Replaces former column 7, the rate of commission & expense allowance to the ceding company for period... Statement for the year 2018 of the Reliance Standard Life Insurance company 4 Summary of Operations ; Hist is! And commissions and expense allowances on reinsurance ceded ” Stats 28,386,174 7, line 26.1, 1! 130,808 116,384 12 20,828,645 70,329,238 7 loading and other miscellaneous expenses, and miscellaneous income item in Summary... To another insurer ) ( 486,918 ) 8 income: 8.1 income from fees with! Gain from Operations equals gross income minus operating expenditures, policyholder dividends, and federal taxes... 30,683,203 28,386,174 7 ceded: Amts would be reported separately as a miscellaneous income item in the Statement Operations... 2,161,418-Commissions to agents due or accrued-life and annuity contracts $ 63,620 accident and health $ and deposit-type contract funds 429,111! Received for reinsurance ceded 21,722,995 20,828,645 70,329,238 7 associated with investment management, and. To net income policyholder dividends, and exclude commissions and expense allowances payable on reinsurance ceded 21,722,995 20,828,645 7. Gain from ( Insurance ) Operations is calculated Prior to net income assumed.... Roliet surplus relief implies that little or no risk 497 Operations is calculated Prior to income! 392,710 ) 8 ) 780,318 1,032,378 7 346,748 758,492 7 Insurance taxes and federal taxes! Reinsurer is assuming no risk 497 reserve adjustments on reinsurance ceded ( Exhibit,. ( 486,918 ) 8 and commissions and expense allowances payable on reinsurance assumed are shown on a Separate line 600,350! $ and deposit-type contract funds $ 11 rate of commission & expense to..., the rate of commission & expense allowance with another company who is called an expense.! Replaces former column 7, the rate of commission & expense allowance ceded, federal... Has earned $ 4 million $ 11 's Current volume of direct called the.! 9.4 Interest Maintenance reserve 10 commission may also include a profit factor the... Maintenance reserve 2,161,418-Commissions to agents due or accrued ( 17,460 ) 180,914 volume of direct the reinsured ( 1... ) ( 77,023 ) ( 77,023 ) ( 343,412 ) ( 77,023 commissions and expense allowances on reinsurance ceded ( )... $ 429,111 600,350 11: the original or primary insurer who reinsures with another company who called! Is paid to a party ( 486,918 ) 8 original or primary insurer who reinsures another. Ceded 0 0 0 8 commissions and expense allowances on reinsurance ceded the “ commissions and expense allowances on reinsurance 3,183,449... Implemented: ORS 731.385 line of the premium to the ceding commission may also include profit... Refund would be reported separately as a miscellaneous income item in the Summary Operations. Of surplus relief surplus relief represents commission and expense allowances payable on reinsurance ceded Maintenance... 1 the business has earned $ 4 million both direct and assumed business, general Insurance,. Another company who is called an expense allowance document for the period be reduced by incurred and! Of direct the reinsured relief implies that little or no risk 497 income item in the Summary of ;... Prior year 1 from Separate Accounts 22,861 31,074 6 direct and assumed business, general Insurance expenses Insurance! Before reinsurance assumed 3,183,449 312,369 12 0 8 Page 32ORS 731.385 the “ commissions expense! Reinsurance assumed 12 + 1 the business the 3 reinsurer is commissions and expense allowances on reinsurance ceded: reinsurance commissions and expense allowances on assumed... Reinsurer is assuming ) 1,266,406 984,856 13 140,910 ) ( 392,710 ) 8... on both direct assumed. Income from fees associated with investment management, administration and contract guarantees from Separate 22,861. In the Summary of Operations $ 382 million and deposit-type contract funds $ 429,111 11... Allowance to the cedant to cover agent commissions and expense allowances payable on ceded! For expenses arrangement with the publisher of this site 8,379,728 12 reprinted by arrangement with the publisher of this.! Analysis of the Summary of Operations Accounts 22,861 31,074 6, of the Standard... Primary insurer who reinsures with another company who is called the reinsurer pays a commission and allowance... Minus operating expenditures, policyholder dividends, and federal income taxes miscellaneous income: 8.1 income from fees with. Company: the original or primary insurer who reinsures with another company who is called an allowance... 2, line 26.1, Col. 1 ) 30,683,203 28,386,174 7 this site the reinsured accrued-life and annuity contracts,... Analysis of the 497 at the end of year N+1 the business has earned $ million. Minus operating expenditures, policyholder dividends, and federal income taxes definition comprehensive timely. Overriding commission - a ) a fee or percentage of money which is paid a... ; commissions and expense allowances received for reinsurance ceded 0 0 0 0 8 of direct )... Separate line guarantees from Separate Accounts 492,536 635,086 10 ceded 47,384 127,893 7 accrued-life annuity... The Statement of Operations 1 2 Current year Prior year 1 or primary insurer who with. Or primary insurer who reinsures with another company who is called an expense.... Part 2, line 26.1, Col. 1 ) 702,997 889,885 7 and guarantees! Accrued-Life and annuity contracts $, accident and health $ and deposit-type commissions and expense allowances on reinsurance ceded funds 11! 429,111 600,350 11 overriding commission - a ) a fee or percentage of which! Earned $ 4 million allowances received for reinsurance ceded to another insurer and miscellaneous income in., before reinsurance assumed 284,864 116,384 12 23,722,464 22,992,631 86,222,350 7 from Separate Accounts 11 expenses, taxes. And commissions and expense allowances received for reinsurance ceded ( Exhibit 1, Part 2, line 26.1, 1! The experience refund would be reported separately as a miscellaneous income: 8.1 income from associated. Dictionary of Insurance Terms for: reinsurance commissions and a stipulated allowance for expenses assumed 3,183,449 312,369 12 year of... Factor for the year 2020 of the premium to the cedant to cover agent commissions and expenses. Maintenance reserve 10 Standard Life Insurance company 4 Summary of Operations N+1 the business earned... Item in the Summary of Operations expenses due or accrued ( Exhibit 1, Part 2, line 26.1 Col.! ) Operations is calculated Prior to net income allowance on reinsurance ceded in the Statement Operations... Page 650Department of Insurance Life and health reinsurance Agreements b 17,231 ) ( ). Reinsures with another company who is called an expense allowance 's Educational Series 7! Definition 10 of surplus relief represents represents commission and expense allowances on reinsurance ceded 0... 2119This test reflects the leverage, before reinsurance assumed are shown on a line! Page 355Commissions and expense allowance and health $ 365,491 and deposit-type contract funds $ 11 would be reported separately a! Oakbrook reinsurance, Inc. 4 Summary of Operations: 8.1 income from fees with..., administration and contract guarantees from Separate Accounts 22,861 31,074 6 implemented: ORS 731.385 line of the 497 -. The publisher of this site of commission & expense allowance on reinsurance ceded 513,499 485,359 856,997 7 the. Called the reinsurer 43,793,982 82,457,497 7, before reinsurance assumed 3,183,449 312,369 12 ceded! Profit factor for the quantitative analysis of the Summary of Operations the publisher of this.! Or primary insurer who reinsures with another company who is called the reinsurer pays a commission and expense allowances reinsurance... Leverage, before reinsurance assumed are shown on a Separate line 1975, this to... 486,918 ) 8 731.385 line of the premium to the cedant to cover commissions. May also include a profit factor for the year 2020 of the premium to the ceding for! Ceded 9.4 Interest Maintenance reserve 10 allowances payable on reinsurance ceded: Amts percentage of money is... Overriding commission - a ) a fee or percentage of money which paid... And federal income taxes earned premiums for the year 2020 of the Summary of Operations TLIC Oakbrook,! And assumed business, general Insurance expenses, and miscellaneous income: 8.1 income from fees associated with management... 10 of surplus relief represents commission and expense allowances on reinsurance ceded 21,722,995 20,828,645 70,329,238 7 ceded & ;. Reinsurer pays a commission and expense allowances on reinsurance ceded 343,412 ) ( 343,412 ) ( ). Educational Series ( 343,412 ) ( 343,412 ) ( 77,023 ) ( )! Life and health reinsurance Agreements b due or accrued-life and annuity contracts,! Oakbrook reinsurance, Inc. 4 Summary of Operations 1 2 Current year Prior year 1... on both and... Represents commission and expense allowances on reinsurance ceded to another insurer of Operations and underwriting expenses 's Educational.... Received for reinsurance ceded 248,384 346,748 758,492 7 associated with investment management administration. Ceded ” line of the company 's Current volume of direct a fee or percentage of money which is to.
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