Set Insurance Information Elections for a Client

Lookup Client

LOOKUP fields

Allows you to enter the information required to uniquely locate the client record for update. Options include:

• Lookup Client Name

• Lookup Client ID

Effective Date

Identifies the start date used during the ISTAR Refresh/Valuation process. The system establishes the Effective Date as the client's Eagle STAR conversion date. The field defaults to current date.

Client Lookup Identification

Identification fields

Displays several identification fields after a successful database retrieval using one or more of the LOOKUP fields above, to allow you to verify that the panel is updating the correct client. Displayed fields include:

• Client Name

• Client ID

• Client Type

Change Client Data

SVO Company Code

Specifies the client's Securities Valuation Office (SVO) company code. This code must be a valid code. This value is required by the Eagle / NAIC Designation information interface and SVO files.

NAIC Company Code

Specifies the client's NAIC company code. This field is informational.

NAIC Price Source

Specifies the NAIC price source, which the system uses during the ISTAR Refresh/Valuation process to calculate statutory valuations. When no price for this source is available, ISTAR automatically uses the price under source 'NAIC', if available.

Non-Admitted Election

Determines whether to use ISTAR calculated Non-Admitted Income (NAI) values. NAI is derived from traded cash rows that have not been settled by the scheduled settlement date, when the settlement date is past due by 90 days (that is, greater than 90 days relative to the ISTAR month end accounting date.) The ISTAR Refresh/Valuation process, both full and delta-refresh, systematically validates past due and accrued income as non-admitted, by analyzing lot level ISTAR cash data. Options include:

• Y (Yes). Use ISTAR calculated NAI values.

• N (No) or Null (Blank). Do not use ISTAR calculated NAI values.

NOTE: You must make a decision each year, prior to processing January month end. ISTAR does not systematically validate NAI values unless the value is set to Y.

Statutory Reporting Name

Specifies the name that displays on all NAIC schedules and supporting reports.

Reporting Rule 1

Indicates whether to apply Reporting Rule 1. Applies to the following schedules:

• Schedule D – Part 3/4/5

• Schedule DA – Part 3/4/5 (Supplement)

• Schedule E – Part 3/4/5 (Supplement)

Options include:

• Y (Yes). Apply rule. 

• N (No). Do not apply rule. 

The Description column on the schedules displays the first 32 characters of the description with the interest rate and maturity date of the asset. The format is RR.RRR MM/DD/YYYY, where Coupon (tag 70) value is the RR.RRR, and the Maturity Date (tag 38) is the MM/DD/YYYY. The coupon is truncated (and left-justified) if the value is greater than or equal to 100%; and, the coupon is truncated (and right-justified) if the value is more than three decimal places.

Example. Assume the Description is INTERNATIONAL BUS. MACHINES CORPORATION CLASS B, the Coupon (70) is 110.13755, and the Maturity Date (38) is 20050201. The report now displays the following:
INTERNATIONAL BUS. MACHINES CORP 10.137 05/01/2005

This election is disregarded if you select Reporting Rule 2.

Reporting Rule 2

Indicates whether to apply Reporting Rule 2. Applies to the following schedules:

• Schedule D – Part 1

• Schedule D – Part 2 – Section 1

• Schedule D – Part 2 – Section 2

• Schedule DA – Part 1

• Schedule D – Part 3/4/5

• Schedule DA – Part 3/4/5

• Schedule E – Part 3/4/5 

Options include:

• Y (Yes). Apply rule. 

• N (No). Do not apply rule. 

The Description column on the schedules displays the first 32 characters of the Description with the Local Currency Price and Local Currency of the Position/Opening Transaction. The format is CCCCC.CCISO, where CCCCC.CC is Unit Cost ID Local (tag 161) and ISO is Local Currency (tag 85). The most current Unit Cost ID Local is used if multiple Positions/Opening Transactions are present.

Unit Cost ID Local is truncated (and right-justified) if the value is more than 2 decimal places and the Unit Cost ID Local is space-filled if there are less than 5 digits in front of the decimal point.

For Schedule D – Part 3/4/5; where Event type (tag 55) is Split, Stockdiv, or Revsplit, the system uses the post-corporate action Unit Cost ID Local. This election only applies to securities where Local Currency (tag 85) is not equal to USD and overrides Reporting Rule 1 (if selected).

Example. Assume the Description is INTERNATIONAL BUS. MACHINES CORPORATION CLASS B, Local Unit Cost (tag 161) is 123.12345, and Currency Code (tag 85) = GBP. The report would display the following:
INTERNATIONAL BUS. MACHINES CORPORATI 123.12 GBP

There are three spaces between the name and the overlay start point due to the space padding for the local price.

NOTE: Reporting Rules 1 and 2 have a priority sequence when deriving the security description. The priority in descending order is: SMF Overlay, Rule 2, and Rule 1.

Cancel Open Election

Applies to Schedule D – Part 3 and Part 4. Determines the treatment of Buy Cancel transactions across closed accounting periods, such as a Buy in one period, and the Cancel in a subsequent period after the original period has been closed. Options include:

• D3:D3. The Buy Cancel appears on Schedule D – Part 3 as a negative Buy that offsets the original Buy transaction. In addition, an entry may appear on Schedule D – Part 4 to reverse the effect of any income that accrued in the prior period associated with the cancelled lot.

• D3:D4. The Buy Cancel appears on Schedule D – Part 4 as a Sell transaction that will offset the original Buy transaction. In addition, any income associated with the cancelled lot that was accrued in the prior period will be reversed and displayed.

Cash Dividend Tax Reclaim

Controls the reporting of dividends. Options include:

• Net (NAIC default). Report dividends net of reclaims.

• Gross. Report dividends gross of reclaims.

Annual Statement Vendor

Specifies the annual statement vendor. This option is informational only. ISTAR vendor extracts conform to the NAIC Electronic Filing Submission Directive. They are compatible with any vendor, including those not listed. Options include:

• A.M. Best (ESP)

• Booke (TCP)

• Eagle TM (ETM). Note that there is no relationship to Eagle Investment Systems.

• Financial Software Innovations (FSI)

• Freedom (AS2000)

• SunGard (EFS)

To select an annual statement vendor, you need to create the vendor values via the Codes workspace.

Reporting Company Type

Specifies the type of statutory accounting and reporting. Options include:

• Life

• Health Organizations

• P&C

• Fraternal Organizations

• Separate Accounts

• Separate Account – Life

• Separate Account – Fraternal

Separate Account ID

Specifies the separate account identifier if you specified separate account for the Reporting Company Type.

This value is assigned by NAIC. It is included in the annual vendor extracts for separate accounts. If NAIC has not assigned a value, you can use a default value of 01.

Weighted Average Portfolio Beta

Specifies the company's weighted average portfolio beta, as identified by the Client ID. The system uses this value with NAIC provided factors on the Asset Valuation Reserve (AVR) Equity and Other Invested Asset Component schedule. This value is multiplied by the factor on all lines identified by footnote (a). This factor is also used for Risk Based Capital reporting.

Effective Tax Rate

Specifies the effective tax rate, which the system applies to gains/losses when determining reserve values on the Interest Maintenance Reserve (IMR) and the Asset Valuation Reserve (AVR) worksheets.

Primary Asset ID Source

Specifies the source for setting the Primary Asset ID in the Insurance data warehouse (ISTAR). Options include:

• SMF. ISTAR uses the Primary Asset ID assigned on the security master file (SMF) in all cases.

• Xreference. The preferred method to meet NAIC reporting standards. Primary Asset ID assignment follows the hierarchical approach described as follows:
  
  

  • If the Private Placement Flag = Y for the asset, then ISTAR uses the PPN Xreference ID assigned to the security.

  • If the Country of Incorporation for the asset is not the United States, then ISTAR uses the CINS Xreference ID assigned to the security as the Primary Asset ID.

  • If the Country of Incorporation = US for the asset, then ISTAR uses the CUSIP Xreference ID assigned to the security.

  • If the Country of Incorporation = US for the asset, then ISTAR uses the CINS Xreference ID assigned to the security. (CUSIP is preferred for US securities, but if none exists, a CINS may be used).

  • If there is no PPN, CINS or CUSIP identifier, ISTAR uses the ISIN Xreference ID assigned to the security.

  • If no PPN, CINS, CUSIP or ISIN is available, the Primary Asset ID assigned to the security is used as the Primary Asset ID.

Refresh Date Type

Specifies the accounting date type to use when building Insurance data via the Refresh process. Options include:

• Accounting Date. Refresh sources all data from the cost objects for positions as of the Accounting Date equal to the Refresh Date and all activity where the Accounting Date is in the month of Refresh.

• Monthly Accounting Date. Refresh sources all data from the cost objects for positions as of the Monthly Accounting Period Date and all activity where the Monthly Accounting Period Date is in the month of Refresh.

NOTE: These dates may differ if using daily accounting periods, and daily and monthly periods are closed on a different cadence.