Md. Code Regs. 31.09.07.03

Current through Register Vol. 51, No. 22, November 1, 2024

Section 31.09.07.03 - Required Reserves

A. The organization shall maintain assets at least equal to the sum of the reserves on its outstanding annuity agreements.

B. The reserves on the outstanding annuity agreements shall be consistent with the assumptions underlying the rates adopted by the American Council on Gift Annuities which are in effect at the time of issuance of the gift annuity.

C. In determining the appropriate reserves, a deduction shall be made for all or any portion of an annuity risk which is reinsured by an authorized insurer or accredited reinsurer.

D. As part of the organization's annual audit report, the organization shall submit a statement by a certified public accountant or qualified actuary verifying the existence of adequate reserves among the organization's assets.

E. The statement required under §D of this regulation may be incorporated into a certified public accountant's annual audit report.

Md. Code Regs. 31.09.07.03

Regulation .03 amended effective 43:22 Md. R. 1223, eff. 11/7/2016; amended effective 47:7 Md. R. 385, eff. 4/6/2020