Article 72p. 72

COMMERCIAL LAWS NEGOTIABLE INSTRUMENTS, CORPORATION, INSURANCE, TRANSPORTATION, BANKING

application filed by the person interested on the form or

forms

prescribed

by

the

Commissioner,

which shall

contain such information as he may require, and upon

payment of the corresponding fee hereinafter prescribed.

SECTION 336. The Commissioner shall conduct, at

such times, and in such places as he may decide to hold,

written examinations to determine the competence and

ability

of

applicants

desiring

to

act

as

adjuster

of

insurance claims.

SECTION 337. No adjuster's license issued hereunder

shall be valid after December 31 of the third year following

the issuance of such license unless it is renewed.

SECTION 338. Nothing contained in this title shall

apply to any duly licensed attorney-at-law who acts or

aids in adjusting insurance claims as an incident to the

practice of his profession and who does not advertise

himself as an adjuster.

SECTION 339. The Commissioner may suspend or

revoke any adjuster's license if, after giving notice and

hearing to the adjuster concerned, the Commissioner

finds that the said adjuster:

(a) Has violated any provision of this Code and of the

circulars, rulings and instructions of the Commissioner or

has violated any law in the course of his dealings as an

adjuster; or

(b)

Has

made

a

material

misstatement

in

the

application for such license; or

(c)

Has

been

guilty

of

fraudulent

or

dishonest

practices; or

(d)

Has

demonstrated

his

incompetence

or

untrustworthiness to act as adjuster; or

(e) Has made patently unjust valuation of loss; or

(f) Has failed to make a report of the adjustment he

proposed within sixty (60) days from the date of the filing

of the claim by the insured with the insurer, unless

prevented so to do by reasons beyond his control; or

(g) Has refused to allow an examination into his affairs

or method of doing business as hereinafter provided.

SECTION 340. Every adjuster shall submit to the

Commissioner a quarterly report of all losses which are

the subject of adjustment effected by him during each

month in the form prescribed by the Commissioner. The

report shall be filed within one (1) month after the end of

each quarter.

SECTION 341. Every adjuster shall keep his or its

books, records, reports, accounts, and vouchers in such

manner that the Commissioner or his duly authorized

representatives may readily verify the quarterly reports of

the said adjuster and ascertain whether the said adjuster

has complied with the provisions of law or regulations

obligatory upon him or whether the method of doing

business of the said adjuster has been fair, just and

honest.

SECTION 342. The Commissioner shall, at least once a

year and whenever he considers the public interest so

demands, cause an examination to be made into the

affairs and method of doing business of every adjuster.

SECTION 343. Any violation of any provision of this

title shall be punished by a fine of not less than Ten

thousand pesos (P10,000.00), or by imprisonment at the

discretion of the court: Provided, That, in case of a

partnership, association or corporation, the said penalty

shall be imposed upon the partner, president, manager,

managing director, director or person in charge of its

business or responsible for the violation.

TITLE 6 Actuaries

SECTION 344. No life insurance company shall be

licensed to do business in the Philippines nor shall any life

insurance company doing business in the Philippines be

allowed to continue doing such business unless they shall

engage the services of an actuary duly accredited with

the Commissioner who shall, during his tenure of office,

be directly responsible for the direction and supervision

of all actuarial work connected with or that may be

involved in the business of the insurance company. The

Commissioner

may

also

require

non-life

insurance

companies to engage the services of an accredited

actuary, in accordance with the rules and regulations that

the Commissioner will formulate.

SECTION 345. Any person may be officially accredited

by the Commissioner to act as an actuary in any life

insurance company or in any mutual benefit association

authorized

to

do

business

in

the

Philippines

upon

application

therefor

and

the

payment

of

the

corresponding fee hereinafter prescribed: Provided, That:

(a) He is a fellow of good standing of the Actuarial

Society of the Philippines at the time of his appointment

and remains in such good standing during the tenure of

his engagement; or

(b) In the case of one who is not a fellow of the

Actuarial Society of the Philippines, he meets all the

requirements of the said Society for accreditation as a

fellow of the Society, and has been given permission by

the pertinent government authorities in the Philippines

to render services in the Philippines, in the event that he

is not a citizen of the Philippines.

The registration of the actuary shall be suspended or

revoked by the Commissioner on the following grounds:

(1) Failure to adequately perform required functions

and duties under this Code;

(2) Failure to disclose conflict of interest;

(3) Failure to comply with the Code of Conduct of the

Actuarial Society of the Philippines; or

(4) Such other grounds that may be determined by

the Commissioner.

No actuary engaged by a life insurance company

shall be at the same time a stockholder or a director of

the board, chief executive officer or chief financial officer

of

the

company

or

hold

any

position

that

the

Commissioner

may

determine

to

have

an

inherent

conflict of interest to the position of an actuary.

No certificate of registration issued under this title

shall be valid after December 31 of the third year following

its issuance unless it is renewed.

SECTION 346. The following documents, which are

from time to time submitted to the Commissioner by a

life insurance company authorized to do business in the

Philippines,

shall be duly certified by an accredited

actuary employed by such company:

(a) Policy reserves, claims or loss reserves and net due

and deferred premiums.

(b) Statements of bases and net premiums, loading

for gross premiums, and on non-forfeiture values and

reserves, when applying for approval of gross premiums,

reserves and non-forfeiture values.

(c) Policies of insurance under any plan submitted to

the Commissioner as required by law.

(d)

Annual

statements

and

valuation

reports

submitted to the Commissioner as required by law.

(e) Financial projection showing the probable income

and outgo and reserve requirements, enumerating the

actuarial assumptions and bases of projections.

(f) Valuation of annuity funds or retirement plans.

The

Commissioner

may

also

require

non-life

insurance companies to submit, from time to time,

similar documents which shall be duly certified by an

accredited actuary employed by such company.

Any life insurance company authorized to do business

in the Philippines may employ any person who is not

officially accredited under either of the qualifications for

any kind of actuarial work: Provided, That he shall not, at

© Compiled by RGL

72 of 211