Spring2015 Q22

exam6_passexam6_pass
in CCIR.ARinstr

Is there a summary of what's considered as "Assets" and "liabilities" for investment income?
Example: Why aren't Payables considered part of liabilities ? Is it something that's available in any of the P&C1 excel exhibits?

thanks

Comments

  • grahamgraham

    Yes, you can find the complete list of assets and liabilities in Exhibits 20.10 and 20.20 of the sample quarterly statement provided in the syllabus readings. (For some reason, those exhibits aren't included in the sample annual statement.)

    Also, payables are indeed liabilities. What made you think they weren't?

  • exam6_passexam6_pass

    Thanks Graham,
    in Fall 2014- Q20

    It doesn't look like receivables from "other insurer" are included under assets and
    any of the "payable" are included in liabilities when calculating the investment income.

    That's what made me think that payables aren't part of liabilities... is there a reason for this?

  • grahamgraham

    Ok, I see. There might be a "reason" somewhere, but according to the CCIR annual statement instructions, the formula for Net Investment Income from Insurance Operations doesn't include all balance sheet assets and liabilities. I've made this more clear in the wiki. Take a look and let me know if that makes more sense now. I've also included a direct link to the relevant page in the source text.

  • exam6_passexam6_pass

    perfect! exactly what I was looking for.
    thanks

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