Section R590-162-3 - DefinitionsTerms used in this rule are defined in Section 31A-1-301. Additional terms are defined as follows:
(1) "Actuarial opinion" means an opinion of an appointed actuary regarding the adequacy of reserves and related actuarial items based on an asset adequacy test under Section R590-162-5 and applicable actuarial standards of practice.(2) "Actuarial Standards Board" means the board established by the American Academy of Actuaries to develop and promulgate standards of actuarial practice.(3) "Annual statement" means a statement required under Section 31A-4-113.(4) "Appointed actuary" means an individual who is appointed or retained in accordance with the requirements in Subsection R590-162-4(2) to provide the actuarial opinion and supporting memorandum required under Section 31A-17-503.(5)(a) "Asset adequacy analysis" means an analysis that meets the standards of practice of the Actuarial Standards Board and this rule and that forms the basis of the statement of actuarial opinion.(b) An asset adequacy analysis may take the form of:(ii) sensitivity testing; or(iii) an application of risk theory. (6) "Company" means a life insurance company, a fraternal benefit society, or a reinsurer.(7)(a) "Qualified actuary" means an individual who:(i) is a member in good standing of the American Academy of Actuaries;(ii) is qualified to sign a statement of actuarial opinion for a life and health insurance company annual statement in accordance with the American Academy of Actuaries qualification standards for actuaries signing an annual statement; and(iii) is familiar with the valuation requirements applicable to a life and health insurance company.(b) "Qualified actuary" does not include an individual who: (i) has been found by the commissioner, following notice and hearing, to have: (A) violated a provision of Utah law in the course of a person's dealings as a qualified actuary;(B) been guilty of fraudulent or dishonest practices;(C) demonstrated incompetency, lack of cooperation, or untrustworthiness to act as a qualified actuary;(D) submitted to the commissioner, during the past five years, an actuarial opinion or memorandum that the commissioner rejected because it did not meet the provisions of this rule or the standards set by the Actuarial Standards Board; or(E) resigned or been removed as an actuary within the past five years because of acts or omissions indicated in any adverse report on examination or because of a failure to adhere to generally acceptable actuarial standards; or(ii) failed to notify the commissioner of any action taken by a commissioner of another state similar to that in this Subsection (7)(b).(c) Notwithstanding Subsection (7)(b), an individual may be reinstated as a qualified actuary by the commissioner.Utah Admin. Code R590-162-3
Amended by Utah State Bulletin Number 2015-18, effective 8/26/2015Amended by Utah State Bulletin Number 2022-16, effective 8/8/2022