Regulation on the examination of the annual accounts and the management report of insurance undertakings, to which § 341k of the Commercial Code is not applicable, by an independent expert (expert test regulation-SachvCheckV)

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SachvCheckV

Date of completion: 19.04.2002

Full quote:

" Expert test regulation of 19 April 2002 (BGBl. I p. 1456, 1573) "

Footnote

(+ + + Text evidence from: 30.  4.2002 + + +) 

  

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Input formula

Pursuant to § 55a (1) sentence 1, no. 4, in conjunction with Section 2 of the Insurance Supervision Act, as amended by the Notice of 17 December 1992 (BGBl. 2) and in conjunction with § 1 of the Regulation on the transfer of jurisdiction to issue legal regulations pursuant to Section 55a (1) of the Insurance Supervision Act to the Federal Supervisory Office for the Insurance Act of 10 July 1986 (BGBl. I S.1094), of which § 55a (1), first sentence, No. 4, by Article 1 (2) (24) (c) of the Law of 21 December 2000 (BGBl. I p. 1857), the Federal Supervisory Office for the insurance sector, in consultation with the supervisory authorities of the Länder and after consulting the Insurance Advisory Board, has been placed in a position to: Unofficial table of contents

Content Summary

Section 1
	General provisions
§ 1		Scope, examination period
§ 2		The subject matter and scope of the examination
§ 3		Independent expert
Section 2
	Audit Report
§ 4		General part of the audit report
§ 5		Special part of the audit report
§ 6		Examination note
§ 7		Submission to the Supervisory Authority
Section 3
	Final provisions
§ 8		Transitional provisions
§ 9		Entry into force, external force

Section 1
General provisions

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§ 1 Scope, examination period

(1) Insurance undertakings which are subject to the supervision of the Federal Government and which are not subject to § 341k of the Commercial Code (Article 61 of the Regulation on the accounting of insurance undertakings), have their annual accounts and their Report by an independent expert to be examined in accordance with the provisions of this Regulation. This shall not apply to mutual insurance associations which are exempted from the day-to-day supervision in accordance with § 157a of the Insurance Supervision Act. (2) The examination shall be at least at the conclusion of each third financial year, upon request of the supervisory authority, even at shorter intervals. The examination shall be carried out on the dates on which an actuarial expert opinion is to be drawn up in accordance with Article 22 of the Regulation on the reporting of insurance undertakings with regard to the Federal Insurance Supervisory Office (3) In so far as an insurance undertaking within the meaning of the first sentence of paragraph 1, at least at the end of each third financial year, voluntarily accounts for its annual accounts and its annual report in compliance with the provisions of Section 341k of the Commercial Code in Connection with the third sub-section of the second section of the The Trade Code and the Regulation on the content of the audit reports on the annual accounts of insurance undertakings shall be subject to an expert review pursuant to this Regulation. § 7 shall apply mutatis-ly to the submission of this report. The power of the supervisory authority referred to in the first sentence of paragraph 2 to require a check in accordance with the provisions of this Regulation also at shorter intervals shall remain unaffected. Unofficial table of contents

§ 2 Subject and scope of the examination

(1) The accounts shall be included in the audit of the annual accounts. The audit of the annual accounts shall cover whether the statutory provisions and the supplementary provisions of the social contract or the articles of association have been complied with. The annual financial statements must be examined to determine whether, in accordance with the principles of proper accounting, it provides a true and fair view of the assets, financial position and earnings situation. (2) The annual report shall be based on the following: examine whether it is consistent with the annual accounts and with the expert findings of the expert's examination and whether, in general, it provides an appropriate presentation of the situation of the insurance undertaking. (3) The audit has: to relate to the financial years that have passed since the financial year, to the conclusion of which was last carried out. Unofficial table of contents

§ 3 Independent Experts

(1) Experts may be any natural person who possesses the legal, commercial and actuarial knowledge required for the conduct of the examination. A legal person may be an expert if at least one natural person has the knowledge required by sentence 1 from the legal representatives of that person. In this case, the examination note according to § 6 shall be submitted and signed by this natural person. (2) The expert must be independent of the insurance undertaking to be audited in legal and economic terms. Independence shall not, in particular, be granted if the expert is a member of the Management Board, the Supervisory Board or a comparable institution or employee of the insurance undertaking to be audited or one of the members of the insurance undertaking to be audited. in the sense of Section 15 of the German Stock Corporation Act. If a legal person is appointed as an expert, independence shall not be granted in particular if the legal person is a company affiliated with the insurance undertaking to be audited within the meaning of Section 15 of the German Stock Corporation Act (AktG) (3) In the absence of an expert, in part the knowledge required for the examination, he shall be required to consult a specialist in this field for examination. To this extent, the first and second sentences of the first and second sentences of paragraph 1 shall apply. (4) The appointment and the convening of the expert shall be carried out by the supreme representation of the insurance undertaking. If the insurance company has a Supervisory Board, the expert will be appointed and appointed by the Supervisory Board.

Section 2
Audit Report

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§ 4 General part of the examination report

(1) The expert shall report on the outcome of the examination in writing. In the general part of the examination report, in the context of the presentation of the legal, economic and organizational fundamentals of the insurance company, in particular to report on

1.

the capital and social conditions and their changes,

2.

the legal and business relationship with associated companies or members and carriers and, where relevant, other undertakings,

3.

the nature and extent of the active and passive reinsurance business, indicating substantial changes to the reinsurance contracts;

4.

the principles and organisation of the capital investment and the liquidity situation;

5.

the use of derivative financial instruments and structured products as well as other financial innovations and

6.

the design of an internal audit.

(2) Furthermore, account shall be taken of the personnel and organisational conditions of the insurance undertaking, in particular staff, operating equipment and the organization of the accounting system. (3) The audit report shows the earnings situation in the Reporting period by comparison with that in the previous reporting period, with a special assessment of the trend in contribution income, insurance expenditure, insurance and income expenses (4) has the following: Experts who have been consulted for the purpose of the examination shall be named in the report. Unofficial table of contents

§ 5 Special part of the examination report

(1) The individual items in the balance sheet and profit and loss account shall be explained. The explanation shall also include the development of the essential items and sub-items of the balance sheet. The respective assessment methods and their changes during the examination period shall be presented. To the extent that the financial statements of the financial assets are indicated in the notes to the annual accounts, the valuation reserves in the capital investments per balance sheet shall be indicated. (2) The audit report shall contain in particular:

1.

In the case of all technical provisions, the calculation and evaluation methods and their changes in the examination period are to be presented. Compliance with trade and prudential rules shall be confirmed by reference to the accounting principles to be used in the calculation of technical provisions, including the amount of the invoice to be used for the calculation of the technical provisions. This is to be noted in the case of findings which deviate from those of the person responsible. The rates 1 and 2 shall not apply to pension funds for which an actuarial expert opinion within the meaning of Article 22 of the Regulation on the reporting of insurance undertakings to the Federal Supervisory Office for the insurance is drawn up and submitted to the supervisory authority.

2.

The calculation and valuation methods for the provision of insurance cases not yet unfolded pursuant to § 341g of the Commercial Code in conjunction with Article 26 of the Regulation on the accounting of insurance undertakings and the Provision for imminent losses arising from the insurance business in accordance with Section 341e (2) (3) of the Commercial Code in conjunction with Section 31 (1) (2) of the Regulation on the accounting of insurance undertakings, in particular with regard to: the appropriateness of their position.

3.

For the insurance business itself closed, the methods for determining the provisions for the insurance cases that have occurred and reported up to the balance sheet date, as well as for late damages and for damages, are in the injury and accident insurance. Claims for damages for all insurance groups, classes and types of insurance referred to in Article 51 (4) of the Regulation on the accounting of insurance undertakings. In assessing the calculation and evaluation methods of the provisions, the settlement of the original-case provision and, where applicable, the provisions after the drawing-up period shall be completed, in particular with a view to its adequacy. consideration. In addition, it should be reported whether, in respect of the fluctuation reserve and similar provisions, the provisions of § 341h of the German Commercial Code, § § 29 and 30 and of the annex to section 29 of the Regulation on the accounting of insurance undertakings Provisions relating to education, height, supply, removal and dissolution have been observed.

4.

Point 3 is in life insurance, in particular with regard to the provision for insurance cases not yet unfolded in the insurance and nursing care insurance and in the health insurance with regard to applied flat-rate methods as well as the settlement of the provision.

5.

In the case of pension funds and sickness insurance undertakings, the balance sheet structure shall also be included in the balance sheet compared to the last closing date on which a calculation of the cover provision has been made. There are significant changes to be made in this connection.

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§ 6 Examination note

(1) In the absence of any objections after the final result of the examination, the expert shall have the following endorsement: " The annual financial statements shall, in accordance with the principles of proper accounting, be communicated to the an image of the assets, financial position, and earnings situation corresponding to the company's actual circumstances. The management report provides an appropriate presentation of the situation of the company. " (2) Objections, the expert has to restrict or refuse the audit opinion. Section 321 (1) sentence 3 of the Commercial Code shall be applied accordingly. In the cases referred to in the second sentence, the expert shall inform the supervisory authority without delay. (3) The expert must sign the examination note in the examination report, stating the place and day. Unofficial table of contents

Section 7 Submission to the Supervisory Authority

The Management Board shall submit the report of the expert immediately upon receipt, at the latest eight months after the end of the last financial year, during the examination period, in duplicate of the Supervisory Authority's copy.

Section 3
Final provisions

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Section 8 Transitional provisions

(1) The provisions of this Regulation shall apply for the first time to the financial year beginning after 31 December 2001. (2) § 1 (2) shall apply with the proviso that the first-time examination of the annual financial statements in accordance with the provisions of this Regulation shall apply. This Regulation shall cover a period of not more than three financial years. Unofficial table of contents

§ 9 Entry into force, external force

This Regulation shall enter into force on the day following the date of delivery.