Understand Cash Balances on Schedule E

You can prepare NAIC schedules, including Schedule E, on a Client level or an Entity level.

When you prepare Schedule E at the Entity level:

• ISTAR displays a single currency balance reflecting the total of all Cash on Deposit for the portfolio.
• If multiple bank accounts exist for a given entity, values are aggregated using the base currency of the entity and displayed as a single line, as an Open Depository balance.

When you prepare Schedule E at the Client Level:

• ISTAR aggregates the cash balances in the underlying Entities based on the bank assigned to each
• If multiple entities share the same bank, then the balances for each Entity are combined and treated as a single currency balance.
• Account balances between -$250,000 and +$250,000 are combined and displayed as a single line item on Disk Line 0199998. If no balances are greater than +$250,000, or less than -$250,000, then the balance for the Primary Depository is displayed as a separate line item and all other balances are combined on Line 0199998.
• If no primary depository has been established, and no balance exceeds $250,000, all balances are aggregated in the disk line 0199998 total. This is considered a data issue and a primary bank should be established.

There are several considerations when using Schedule E – Part 1 prepared on an annual basis and prepared on a quarterly basis. You can also designate cash balances as Cash in Company Office.