Wiley GAAP for Governments 2013: Interpretation and Application of Generally Accepted Accounting Principles for State and Local Governments

CHAPTER 21

RISK FINANCING AND INSURANCE-RELATED ACTIVITIES/PUBLIC ENTITY RISK POOLS

Introduction

Risk Financing and Insurance Activities of State and Local Governments (other than Public Entity Risk Pools)

Disclosure of Loss Contingencies

Incurred but not reported claims

Amount of loss accrual

Discounting

Annuity contracts

Use of a single fund

Risk Retention by Entities other than Pools

General fund

Internal service fund

Governmental Entities That Participate in Risk Pools

Entities Participating in Public Entity Risk Pools with Transfer or Pooling of Risk

Capitalization contributions

Entities Participating in Public Entity Risk Pools without Transfer or Pooling of Risk

Other Matters for Entities other than Public Entity Risk Pools

Insurance-related transactions

Entities providing claims servicing or insurance coverage to others

Disclosure Requirements

Accounting and Financial Reporting for Public Entity Risk Pools

What Is a Public Entity Risk Pool?

Specific Accounting and Financial Reporting Requirements

Fund type to use

Premium revenue recognition

Claim cost recognition

Claims adjustment expenses

Discounting

Annuity contracts

Disclosure of loss contingencies

Policy/participation contract acquisition costs

Other costs

Policyholder dividends

Experience refunds

Premium deficiency

Reinsurance

Capitalization contributions made to other public entity risk pools

Capitalization contracts received

Investments

Disclosure Requirements and Required Supplementary Information

Disclosure requirements ...