Regulatory Alerts2017-08-25 | 23913Adequate Reserving Required by Section 172 of the Act
The insurance regulator requires licensed insurers to maintain adequate financial reserves in accordance with Section 172 of the governing Act. This statutory mandate ensures that companies hold sufficient capital to cover future policyholder claims and operational obligations. Insurers must apply approved reserving methodologies, conduct regular actuarial assessments, and report compliance to avoid regulatory sanctions.
Share