PEMBAHASAN
Characteristic of certain reserves[1]
| Claim Fluctuation Reserve
(Statutory and GAAP) |
- Enables the insurer to absorb unexpected claims experience while offering stable premiums to group medical insurance policyholders
|
| Premium Deficiency Reserve
(Statutory only) |
- Must be established when the valuation net premium exceeds the gross premium
|
| Contingency Reserves
(Statutory only) |
- Established voluntary
- Serve as a cushion against future adverse experience
- Considered a surplus account on the balance sheet
|
| Interest Maintenance Reserve (IMR)
(Statutory only) |
- Absorbs capital gains and losses on certain investments caused by interest rate changes
- Gain and losses must be realized
- Covers bonds, mortgages, and preffered stock only
- Allows gains and losses to gradually affect the capital and surplus accounts
|
| Asset Valuation Reserve (AVR)
(Statutory only) |
- Absorbs credit-related capital gains and losses
- Absorbs realized and un realized gains and losses
- Each year insurers must perform calculations in order to determine whether they must increase their AVR
- Allows gain and losses to gradually affect the capital and surplus accounts
|
Jawaban: c. i, iii dan iv benar
[1] Mulligan, E. and Stone, G. (1997). Accounting and financial reporting in life and health insurance companies. Atlanta, Ga.: Life Management Institute, LOMA.
