Nev. Admin. Code § 680A.222 - Variables allowed in determination process

To determine the financial condition of an insurer for the purposes of NAC 680A.220 to 680A.226, inclusive, the Commissioner may, if he or she deems it appropriate:

1. Disregard any credit or amount receivable resulting from the transactions of the insurer with a reinsurer which is insolvent, impaired or otherwise subject to a delinquency proceeding;
2. Consistent with the Accounting Practices and Procedures Manual of the National Association of Insurance Commissioners, which has been adopted by reference in NAC 679B.033, make an appropriate adjustment, including a disallowance, to the value of the insurer's assets which are attributable to the insurer's investments in or transactions with any parent, subsidiary or affiliate of the insurer;
3. Refuse to recognize the stated value of the accounts receivable of the insurer if the ability of the insurer to collect those accounts is highly speculative in view of the age of the account or the financial condition of the debtor; or
4. Increase the insurer's liability in an amount equal to any contingent liability, pledge or guaranty not otherwise included in the annual statements or financial statements of the insurer if there is a substantial risk that the insurer will be called upon to meet the liability, pledge or guaranty undertaken within the following 12-month period.

Notes

Nev. Admin. Code § 680A.222
Added to NAC by Comm'r of Insurance, eff. 5-23-96; A by R030-12, 9-14-2012

NRS 679B.130, 680A.205

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