CAS Exam 6 (US) case studies
CAS Exam 6 (US) · Put your knowledge to work in context.
Exam 6-United States (Regulation and Financial Reporting-US) is one of the ACAS exams listed by the Casualty Actuarial Society, sitting alongside Exam 5, PCPA, and the Canada, International, and Taipei variants of Exam 6. The CAS describes itself as the trusted global authority advancing property and casualty actuarial science, with nearly 12,000 members worldwide, and its exam program is the route to the Associate and Fellow designations. This US version is aimed at candidates who work with, or intend to work with, US insurers and who need the regulatory and financial reporting side of the credential rather than the ratemaking or reserving content of Exam 5. Expect the syllabus to centre on US insurance regulation, statutory accounting and reporting, and the financial statements that regulators and other users rely on. The CAS Exam 6 (US) case studies are 5 cases and about 4,070 words.
1Dividend Classification and Surplus Note Interest Approval
Midwest Specialty Insurance Company (MSIC) is a domestic property-casualty insurer with capital and surplus of 84.0 million at December 31, 2023, including 62.0 million of earned surplus. Net income for 2023 was 7.2 million.
816 words, about 4 min2RBC Action Levels, Dividend, and Adverse Reserve Trend
Lakeside Mutual Insurance Company writes commercial auto and general liability. At December 31, 2023, its total adjusted capital (TAC) is 58.0 million and its authorized control level RBC (ACL) is 32.0 million, producing an RBC ratio of 181%.
761 words, about 4 min3Nonadmitted Assets and Unauthorized Reinsurance Credit
Prairie Fire Insurance Company is preparing its 2023 statutory annual statement. Its statutory surplus before any nonadmitted-asset adjustments is 42.0 million.
845 words, about 4 min4Actuarial Opinion, Reserve Deficiency, and Disputed Reinsurance
North River Insurance Company has gross loss and LAE reserves of 210.0 million at December 31, 2023. The appointed actuary's central estimate is 222.0 million, a 12.0 million deficiency.
852 words, about 4 min5Stop-Loss Reinsurance Risk Transfer and Collateral
Summit Casualty Insurance Company purchases a 12-month aggregate stop-loss reinsurance treaty from an unauthorized offshore reinsurer. The treaty covers Summit's workers' compensation losses above a 50.0 million retention, up to 20.0 million, for a 4.0 million premium.
796 words, about 4 min