SECTION 7.1609. Annual Report  


Latest version.
  • (a) Filing of Annual Report. An administrator must file an annual report with the department no later than June 30 each year, accompanied by the non-refundable fee of $200.

    (b) Forms and Fee.

    (1) The commissioner adopts by reference the following forms, which are available at www.tdi.state.tx.us/forms/form5tpa.html:

    (A) Form Number FIN 486, Annual Report Form for Administrators Holding a Certificate of Authority under TIC 4151;

    (B) Form Number FIN 487, Annual Report Form for Insurers and HMOs Subject to 28 TAC §7.1605;

    (C) Form Number FIN 488, Annual Report Exhibits A-E; and

    (D) Form Number FIN 490, Certification of Financial Statement.

    (2) As authorized by the Insurance Code §4151.206(a)(3), the commissioner adopts a fee of $200 to be paid with the filing of the annual report. The fee is non-refundable.

    (c) Audit Report. The annual report required by subsection (a) of this section must also include an audit report on the financial statements prepared by an independent certified public accountant that:

    (1) reflects an audit conducted in accordance with generally accepted auditing standards or with the standards adopted by the Public Company Accounting Oversight Board, as applicable; and

    (2) includes a balance sheet, an income statement, a cash flow statement; and a statement of equity.

    (d) Exemption.

    (1) An administrator who receives less than $10 million in compensation for providing administrative services in Texas during the preceding calendar year is exempt from complying with subsection (c) of this section for that year.

    (2) An administrator qualifying for the exemption in paragraph (1) of this subsection must file a financial statement with the department that:

    (A) includes a completed Form Number FIN 490, Certification of Financial Statement, as referenced in subsection (b)(1)(D) of this section; and

    (B) is verified by at least two officers or other comparable responsible persons of the administrator.

    (3) An administrator qualifying for the exemption in paragraph (1) of this subsection must meet all other requirements of this section.

    (e) The commissioner may request additional information as necessary to determine if an administrator is operating or conducting business in a hazardous or injurious manner.

Source Note: The provisions of this §7.1609 adopted to be effective June 25, 2009, 34 TexReg 4143