NAC681B.230. Asset adequacy analysis: Allocation of assets.

     1. When performing an asset adequacy analysis, an appointed actuary shall analyze only those assets held in support of the specified reserves. A particular asset or portion thereof supporting a group of specified reserves cannot support any other group of specified reserves. An asset may be allocated over several groups of specified reserves. Except as otherwise provided in NAC 681B.235, the assets held in support of the reserves must not exceed the value of the specified reserves on the annual statement. If the method of asset allocation is not consistent from year to year, the extent of its inconsistency must be described in the supporting memorandum.

     2. As used in this section, “specified reserves” means those reserves which are the subject of the asset adequacy analysis.

     (Added to NAC by Comm’r of Insurance, eff. 5-23-96)