Financial Bulletin NO. 2020-02 

Complying with Regulatory Requirements during the COVID-19 Public Health Emergency 

To: All Insurance Companies  
From: Andy Schallhorn, Deputy Commissioner of Financial Regulation and Chief Actuary
Date: April 8, 2020
Subject: Complying with Regulatory Requirements during the COVID-19 Public Health Emergency 

Purpose 

The purpose of this bulletin is for the Oklahoma Insurance Department (OID) to advise all insurance companies regarding compliance with regulatory requirements during the COVID-19 public health emergency. This flexibility is being provided in part to recognize that we and other states anticipate using additional targeted information requests to gather more specific information and your prompt attention to those matters is appreciated.   

Regulatory Filing Deadlines 

At this time, companies are still required to make all required electronic filings with the NAIC (e.g., quarterly financial statements, audited financial statements), or for those that are not filed with the NAIC but to the analyst assigned to your company. However, the OID is willing to allow insurers an additional 30 days to complete most of the following filings (60 days for some). The OID must receive a request for late filing from your company, and reserves the right to reject any such individual company requests based upon the financial condition and unique circumstances of that company deemed applicable to that company. If your company believes that it will not be able to meet any of the following financial filing deadlines required by law or by order, please contact your Oklahoma Financial Analyst or the OID (HCAfilings@oid.ok.gov) to request an extension of the filing deadline. 

Filings with a Potential 30-day Delay 

  • May 1, 2020 Combined Annual Statement Filing (Property)   
  • May 1, 2020 Combined Insurance Expense Exhibit (Property)  
  • June 1, 2020 Accountant’s Letter of Qualifications (Property, Life/Fraternal, Health, Title)  
  • August 15, 2020 PBR Exemption filing due to state 7/1 and to NAIC 8/15 (Life/Fraternal) 

Filings with a Potential 60-day Delay 

  • June 1, 2020 Audited Financial Report (Property, Life/Fraternal, Health, Title)  
  • August 1, 2020 Communication of Internal Control Related Matters Noted in Audit (Property, Life/Fraternal, Health, Title 
  • June 1, 2020 Corporate Governance Annual Disclosure 
  • October 31, 2020 Own Risk and Solvency Assessment (ORSA) Summary Report 
  • May 1, 2020 Form B Registration Statement & Related Form C 
  • May 1, 2020 Risk Assessment Report (Form F) 

The filing deadlines for the components of the 2019 annual filings that, if applicable, should be submitted only to an insurer’s state of domicile are as follows. 

  • April 30, 2020 Actuarial Memorandum Required by Actuarial Guideline XXXVIII 8D (Life/Fraternal)  
  • August 1, 2020 Management’s Report of Internal Control Over Financial Reporting (Property, Life/Fraternal, Health, Title) 

Filings with a Potential 30-day Delay 

The NAIC filing deadlines and requirements for the 2020 quarterly electronic filings are as follows, all Due May 15, 2020: 

  • Quarterly Statement Filing as of March 31, 2020 (Property, Life/Fraternal, Health, Title)  
  • Trusteed Surplus Statement – Quarter Ending March 31, 2020 (Property, Life/Fraternal)  
  • Supplement A to Schedule T (Medical Professional Liability Supplement) – Quarter Ending March 31, 2020 (Property) 
  • Medicare Part D Coverage Supplement – Quarter Ending March 31, 2020 (Property, Life/Fraternal, Health)  
  • Merger/history quarterly form, if applicable (Property, Life/Fraternal, Health, Title) (electronic txt file only)  
  • Reasonableness of Assumptions Certification Required by Actuarial Guideline XXXV – Quarter Ending March 31, 2020 (Life/Fraternal) 
  • Reasonableness and Consistency of Assumptions Certification Required by Actuarial Guideline XXXV – Quarter Ending March 31, 2020 (Life/Fraternal)  
  • Reasonableness of Assumptions Certification for Implied Guaranteed Rate Method Required by Actuarial Guideline XXXVI – Quarter Ending March 31, 2020 (Life/Fraternal)  
  • Reasonableness and Consistency of Assumptions Certification Required by Actuarial Guideline XXXVI (Updated Average Market Value) – Quarter Ending March 31, 2020 (Life/Fraternal)  
  • Reasonableness and Consistency of Assumptions Certification Required by Actuarial Guideline XXXVI (Updated Market Value) – Quarter Ending March 31, 2020 (Life/Fraternal)  
  • Director and Officer Insurance Coverage Supplement – Quarter Ending March 31, 2020 (Property)  

Electronic Filings and Signatures  

Regarding filing requirements, the OID generally instructs companies to file certain documents in hard copy form with original (wet) signature, and in some cases sent via certified mail or first-class and with notary requirements. The hard copy, original signature, and related filing requirements are currently waived, however, companies are expected to keep a list of all filings that were made electronically in lieu of hard copy filings so that they can file all the hard copies within 60 days after the state has allowed a return to work. The OID expects electronic communication will be used by companies on all other financial related communication, with hard copies provided within 60 days if required by law. 

On-site Examinations 

Some insurers have inquired regarding whether the OID will continue to conduct on-site examinations during the COVID-19 pandemic. While the OID intends to fully comply with any government directives regarding public gatherings, the OID will not conduct any on-site examination work that is contrary to the spirit of any public health directive and to facilitate this, insurers should be aware that the OID may need to request more information in electronic form. The OID expects independent auditors will take a similar position, thus an extended due date for that filing as noted in the above list. The OID acknowledges that company response times may be slower as more company employees work from home. 

Effective Date 

This bulletin shall take immediate effect.