S.D. Admin. R. 20:06:25:01.01

Current through Register Vol. 50, page 159, June 17, 2024

Section 20:06:25:01.01 - Accounting methods for certain surety bonds

Insurers writing surety bonds guaranteeing to lending institutions the repayment of student loans made by lending institutions may, in lieu of compliance with SSAP60 of the Accounting Practices and Procedures Manual, develop premium earning patterns that are representative of their claims and expense patterns by loan and program, and compute unearned premium reserves according to those premium earning patterns. In lieu of compliance with SSAP3 of the Accounting Practices and Procedures Manual, changes in accounting estimates, for this method of accounting only, may be amortized over the remaining life of the student loans utilizing pro-rated current premium earning patterns. In lieu of compliance with SSAP53 of the Accounting Practices and Procedures Manual, such insurers may recognize written premiums when due.

27 SDR 111, effective 5/7/2001; 29 SDR 5, effective 7/10/2002; 30 SDR 39, effective 9/28/2003; 31 SDR 21, effective 8/23/2004; 33 SDR 59, effective 10/5/2006; 34 SDR 271, effective 5/6/2008; 35 SDR 165, effective 12/22/2008; 36 SDR 209, effective 7/1/2010; 37 SDR 241, effective 7/1/2011; 38 SDR 219, effective 6/25/2012; 39 SDR 219, effective 6/26/2013; 41 SDR 41, effective 9/17/2014; 42 SDR 52, effective 10/13/2015; 42 SDR 177, effective 6/28/2016; 45 SDR 010, effective 8/1/2018; 46 SDR 026, effective 9/4/2019; 46 SDR 146, effective 7/2/2020; 47 SDR 137, effective 6/28/2021; 49 SDR 009, effective 8/9/2022; 50 SDR 013, effective 8/10/2023

General Authority: SDCL 58-6-75.

Law Implemented: SDCL 58-6-75.

The amended version of this section by 50 SDR 157, effective 7/1/2024 is not yet available.

Accounting Practices and Procedures Manual, 2023 edition. Copies may be obtained from the National Association of Insurance Commissioners, 1100 Walnut Street, Ste. 1500, Kansas City, MO 64106-2197, (816) 783-8300; http://www.naic.org. Cost: $550.