SECTION 4.2802. Scope and Applicability

(a) This subchapter applies to all life insurance companies doing business in this state and to all life insurance companies that are authorized to reinsure life insurance, annuities, or accident and health insurance business in this state.

(b) This subchapter must be applied in a manner that allows the appointed actuary to utilize their professional judgment in performing the asset analysis and developing the actuarial opinion and supporting memoranda, consistent with relevant actuarial standards of practice; however, the commissioner has the authority to specify specific methods of actuarial analysis and actuarial assumptions when, in the commissioner's judgment, these specifications are necessary for an acceptable opinion to be rendered relative to the adequacy of reserves and related items.

(c) This subchapter applies to the actuarial opinion for the 2005 valuation through the 2016 valuation. The requirements of the valuation manual adopted under Insurance Code Chapter 425, Subchapter B, concerning Standard Valuation Law, apply to actuarial opinions for valuations on or after January 1, 2017.

(d) A statement of opinion on the adequacy of the reserves and related actuarial items based on an asset adequacy analysis in accordance with §4.2806 of this title (relating to Statement of Actuarial Opinion Based on an Asset Adequacy Analysis), and a memorandum in support of the statement of opinion in accordance with §4.2807 of this title (relating to Description of Actuarial Memorandum Including an Asset Adequacy Analysis and Regulatory Asset Adequacy Issues Summary), is required each year, unless exempt under §4.2808 of this title (relating to Asset Adequacy Analysis Exemption).

Source Note: The provisions of this §4.2802 adopted to be effective June 20, 2005, 30 TexReg 3589; amended to be effective May 11, 2022, 47 TexReg 2758; transferred effective September 1, 2023, as published in the July 28, 2023, issue of the Texas Register, 48 TexReg 4127; amended to be effective January 24, 2024, 49 TexReg 250