Accounting Alert

This Accounting Alert is issued to circulate Insurance Commission (IC) Circular Letter No. 2021-23 dated March 31, 2021 on the guidelines for the online submission of 2020 audited financial statements (AFS) and attachments for insurance and reinsurance brokers. 

In view of all the previously issued circulars relating to the submission of AFS and in accordance with the Insurance Commissioner's power under Section 437 of the Amended Insurance code, the following guidelines are hereby promulgated: 

Online Submission

1. All insurance brokers, reinsurance brokers and both insurance and reinsurance brokers are required to submit their AFS and attachments in electronic format.
2. All submissions shall be uploaded to the IC Online Uploading Portal via: https://onuploading.insurance.gov.ph/templates/login
3. Companies who opt to change its existing authorized representatives must submit the accomplished registration form and supporting documents provided under IC Advisory No. 12-2020.

General Requirements

1. The following downloadable forms are attached on the CL posted in the IC's website (https://www.insurance.gov.ph/issuances/circular-letters/), for reference:

a. Form A — Revised List of Requirements;

b. Form B — Attestation Certificate;

c. Form C — Premium-related accounts Schedule; and,

d. Form D — Revised Statement of Business Operations.

2. All broker-regulated entities are encouraged to follow the exact formats and information provided under Forms C and D. However, companies may opt to redact information that are deemed confidential but, nevertheless, will not affect the IC supervision.

3. All files shall be encrypted and shall follow the filename format: <Requirement No.>_<Name>_<Year>. Instructions on how to upload and encrypt files are found in the said IC Portal (Section 1.2).

Deadline of Online Submission

The Commission reiterates that the deadline of submission is on or before May 31 of every year, unless otherwise extended. Cut-off time will be 5:00PM. All late and incomplete submissions beyond the deadline (Section 3), shall be penalized P5,000.00 per day of delay pursuant to IC CL No. 2014-15 (Fees and Charges).

Review and Approval

1. The submission shall be considered official once an e-mail from the company's authorized representative, stating that the AFS and attachments are completely uploaded, is received by the IC Examiner-in-Charge (EIC) copy furnished the Brokers and Insurance Pools Division Manager and Supervisors.
2. The EIC will evaluate the uploaded documents and if found complete, the EIC will release an e-mail, with the attached Order of Payment (OP), notifying the company's authorized representative to proceed with the payment of the Filing fee and penalty, if any.
3. If the uploaded AFS and its attachments are found to be incomplete, the same shall not be accepted, and the EIC will notify the company's authorized representative regarding the lacking items/documents/attachments via e-mail.

Payment Instruction

1. Payment of the filing fee and penalty, if any, shall be made within the date indicated in the OP, following the prescribe manner of payment by the IC Administrative Division - Cashier Section.
2. Copy of the Official Receipt/Transaction Receipt shall provide to the EIC via e-mail to validate the completion of the submission of the AFS and attachments.
3. None or late payment of the filing fee and penalty, if any, after the validity of the OP shall constitute an interest of 12% per annum until the same is fully paid.

Effectivity Clause

The issuance of this CL, upon effectivity, supersedes all previously issued CLs regarding the examination and/or verification of insurance and/or reinsurance brokers.

See attached Circular Letter 2021-23 for further details.