§ 58‑26‑25. Amount of unearned [statutory] premium reserve.
(a) The statutorypremium reserve of every domestic title insurance company shall consist of theaggregate of:
(1) The amount of theunearned premium reserve held as of December 31, 1998.
(2) The amount of alladditions required to be made to such reserve by this section, less thereduction of the aggregate amount required by this section.
(b) A domestic titleinsurance company on and after January 1, 1999, shall reserve initially as astatutory premium reserve a sum equal to ten percent (10%) of the followingitems set forth in the title insurer's most recent annual statement on filewith the Commissioner:
(1) Direct premiumswritten.
(2) Premiums forreinsurance assumed less premiums for reinsurance ceded during the year.
(c) The aggregate ofthe amounts set aside in statutory premium reserves in any calendar year, undersubsection (b) of this section, shall be reduced annually at the end of eachcalendar year following the year in which the policy is issued, over a periodof 20 years, pursuant to the following: twenty percent (20%) the first year;ten percent (10%) for years two and three; five percent (5%) for years fourthrough 10; three percent (3%) for years 11 through 15; and two percent (2%)for years 16 through 20.
(d) The entire amountof the unearned premium reserve held as of December 31, 1998, shall be accordeda fresh start and shall be released from said reserve and restored to netprofits in accordance with the percentages set forth in subsection (c) of thissection.
(e) A supplementalreserve shall be established in accordance with the instructions of the annualstatement required by G.S. 58‑2‑165 and G.S. 58‑26‑10consisting of the reserves necessary, when taken in combination with thereserves required by subsections (a) through (d) of this section to cover thecompany's liabilities with respect to all losses, claims, and loss adjustmentexpenses.
(f) Each title insurersubject to the provisions of this Article shall file with its annual statementrequired by G.S. 58‑2‑165 and G.S. 58‑26‑10 acertification of a member in good standing of the American Academy ofActuaries. The actuarial certification required of a title insurer must conformto the annual statement instructions for title insurers of the NationalAssociation of Insurance Commissioners. (1969, c. 897; 1973, c. 1035, ss. 2‑4; 1999‑383,s. 1; 2002‑187, ss. 7.4, 7.5, 7.6.)
§ 58‑26‑25. Amount of unearned [statutory] premium reserve.
(a) The statutorypremium reserve of every domestic title insurance company shall consist of theaggregate of:
(1) The amount of theunearned premium reserve held as of December 31, 1998.
(2) The amount of alladditions required to be made to such reserve by this section, less thereduction of the aggregate amount required by this section.
(b) A domestic titleinsurance company on and after January 1, 1999, shall reserve initially as astatutory premium reserve a sum equal to ten percent (10%) of the followingitems set forth in the title insurer's most recent annual statement on filewith the Commissioner:
(1) Direct premiumswritten.
(2) Premiums forreinsurance assumed less premiums for reinsurance ceded during the year.
(c) The aggregate ofthe amounts set aside in statutory premium reserves in any calendar year, undersubsection (b) of this section, shall be reduced annually at the end of eachcalendar year following the year in which the policy is issued, over a periodof 20 years, pursuant to the following: twenty percent (20%) the first year;ten percent (10%) for years two and three; five percent (5%) for years fourthrough 10; three percent (3%) for years 11 through 15; and two percent (2%)for years 16 through 20.
(d) The entire amountof the unearned premium reserve held as of December 31, 1998, shall be accordeda fresh start and shall be released from said reserve and restored to netprofits in accordance with the percentages set forth in subsection (c) of thissection.
(e) A supplementalreserve shall be established in accordance with the instructions of the annualstatement required by G.S. 58‑2‑165 and G.S. 58‑26‑10consisting of the reserves necessary, when taken in combination with thereserves required by subsections (a) through (d) of this section to cover thecompany's liabilities with respect to all losses, claims, and loss adjustmentexpenses.
(f) Each title insurersubject to the provisions of this Article shall file with its annual statementrequired by G.S. 58‑2‑165 and G.S. 58‑26‑10 acertification of a member in good standing of the American Academy ofActuaries. The actuarial certification required of a title insurer must conformto the annual statement instructions for title insurers of the NationalAssociation of Insurance Commissioners. (1969, c. 897; 1973, c. 1035, ss. 2‑4; 1999‑383,s. 1; 2002‑187, ss. 7.4, 7.5, 7.6.)
§ 58‑26‑25. Amount of unearned [statutory] premium reserve.
(a) The statutorypremium reserve of every domestic title insurance company shall consist of theaggregate of:
(1) The amount of theunearned premium reserve held as of December 31, 1998.
(2) The amount of alladditions required to be made to such reserve by this section, less thereduction of the aggregate amount required by this section.
(b) A domestic titleinsurance company on and after January 1, 1999, shall reserve initially as astatutory premium reserve a sum equal to ten percent (10%) of the followingitems set forth in the title insurer's most recent annual statement on filewith the Commissioner:
(1) Direct premiumswritten.
(2) Premiums forreinsurance assumed less premiums for reinsurance ceded during the year.
(c) The aggregate ofthe amounts set aside in statutory premium reserves in any calendar year, undersubsection (b) of this section, shall be reduced annually at the end of eachcalendar year following the year in which the policy is issued, over a periodof 20 years, pursuant to the following: twenty percent (20%) the first year;ten percent (10%) for years two and three; five percent (5%) for years fourthrough 10; three percent (3%) for years 11 through 15; and two percent (2%)for years 16 through 20.
(d) The entire amountof the unearned premium reserve held as of December 31, 1998, shall be accordeda fresh start and shall be released from said reserve and restored to netprofits in accordance with the percentages set forth in subsection (c) of thissection.
(e) A supplementalreserve shall be established in accordance with the instructions of the annualstatement required by G.S. 58‑2‑165 and G.S. 58‑26‑10consisting of the reserves necessary, when taken in combination with thereserves required by subsections (a) through (d) of this section to cover thecompany's liabilities with respect to all losses, claims, and loss adjustmentexpenses.
(f) Each title insurersubject to the provisions of this Article shall file with its annual statementrequired by G.S. 58‑2‑165 and G.S. 58‑26‑10 acertification of a member in good standing of the American Academy ofActuaries. The actuarial certification required of a title insurer must conformto the annual statement instructions for title insurers of the NationalAssociation of Insurance Commissioners. (1969, c. 897; 1973, c. 1035, ss. 2‑4; 1999‑383,s. 1; 2002‑187, ss. 7.4, 7.5, 7.6.)
