Texas Labor Code - Section 407A.251. Financial Statement
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§ 407A.251. FINANCIAL STATEMENT. (a) Each group shall
submit to the commissioner financial statements audited by an
independent certified public accountant on or before the last day
of the sixth month following the end of the group's fiscal year.
(b) The financial statement must include a balance sheet,
income statement, and statement of cash flow and must be prepared on
the basis of accounting principles generally accepted in the United
States.
(c) Loss reserves may be discounted subject to generally
accepted accounting principles. The discounting must be documented
in the notes accompanying the financial statement. Notwithstanding
this subsection, dividends paid to members of the group must be
based on undiscounted loss reserves.
(d) The audited financial statements required by this
section must be accompanied by an actuarial opinion on the adequacy
of the group's loss reserves, including the reasonableness of any
reserve discount. The actuarial opinion must be given by a member
in good standing of the American Academy of Actuaries and the
Casualty Actuarial Society.
Added by Acts 2003, 78th Leg., ch. 275, § 1, eff. Sept. 1, 2003.
Section: 407A.057 407A.101 407A.151 407A.152 407A.153 407A.154 407A.201 407A.251 407A.252 407A.301 407A.302 407A.303 407A.304 407A.351 407A.352
Last modified: August 10, 2007
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