Section 5-203 - Active life reserves for health insurance policies.

§ 5-203. Active life reserves for health insurance policies.
 

(a)  Required.- An insurer shall maintain active life reserves for all health insurance policies. 

(b)  Criteria.- The active life reserves: 

(1) shall place a sound value on the insurer's liabilities under the health insurance policies; 

(2) may not be less than the reserves required by the appropriate standards set forth in regulations that the Commissioner adopts; and 

(3) in the aggregate, may not be less than the pro rata gross unearned premiums for the health insurance policies. 
 

[An. Code 1957, art. 48A, § 79; 1995, ch. 36.]