In any determination of the financial condition of an insurer, capital stock and liabilities to be charged against its assets shall include:

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Terms Used In New Mexico Statutes 59A-8-4

  • Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
  • Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.

A. the amount of its capital stock outstanding, if any;

B. the amount, estimated to be consistent with the provisions of the Insurance Code, necessary to pay all of its unpaid losses and claims incurred on or prior to date of the statement whether reported or unreported, together with the expense of adjustment or settlement thereof;

C. as to life insurance policies and annuity contracts, and disability and accidental death benefits in or supplemental thereto:

(1)     the amount of reserves on life insurance policies and annuity contracts in force, valued according to the tables of mortality, rates of interest and methods adopted pursuant to the Insurance Code which are applicable thereto;

(2)     reserves for disability benefits, for both active and disabled lives; (3)     reserves for accidental death benefits; and

(4)     any additional reserves which may be required by the superintendent consistent with applicable customary and general practice in insurance accounting;

D. as to health insurance policies, the reserves required under Section 59A-8-7 N.M. Stat. Ann.;

E. as to insurance other than referred to in Subsections C and D of this section, and other than title insurance, the amount of unearned premium reserves computed in accordance with Sections 59A-8-9 and 59A-8-10 N.M. Stat. Ann.;

F. taxes, expenses and other obligations due or accrued at date of the statement;

and G. liability to agents for commissions contingent on collection of premium shall not be construed as a liability.