COOPERATIVA DE SEGUROS DE VIDA DE PR, COSVI

Transcription

1 ANNUAL STATEMENT OF THE COOPERATIVA DE SEGUROS DE VIDA DE PR, COSVI of San Juan in the state of Puerto Rico 2009 TO THE Insurance Department OF THE STATE OF Puerto Rico For the Year Ended December 31, 2009 LIFE AND ACCIDENT AND HEALTH 2009

2 LIFE AND ACCIDENT AND HEALTH COMPANIES - ASSOCIATION EDITION ANNUAL STATEMENT For the Year Ended December 31, 2009 OF THE CONDITION AND AFFAIRS OF THE COOPERATIVA DE SEGUROS DE VIDA DE PR, COSVI Document Code: 201 NAIC Group Code 0000, 0000 NAIC Company Code Employer's ID Number (Current Period) (Prior Period) Organized under the Laws of Puerto Rico, State of Domicile or Port of Entry Puerto Rico Country of Domicile United States of America Incorporated/Organized 12/11/1959 Commenced Business 09/11/1960 Statutory Home Office 400 Americo Miranda, San Juan, PR (Street and Number) (City or Town, State and Zip Code) Main Administrative Office 400 Americo Miranda (Street and Number) San Juan, PR (787) (City or Town, State and Zip Code) (Area Code) (Telephone Number) Mail Address P.O. Box , San Juan, PR (Street and Number or P.O. Box) (City or Town, State and Zip Code) Primary Location of Books and Records 400 Americo Miranda (Street and Number) San Juan, PR (787) (City or Town, State and Zip Code) (Area Code) (Telephone Number) Internet Website Address Statutory Statement Contact Miguel A. Rosado Marrero (787) (Name) (Area Code)(Telephone Number)(Extension) miguel.rosado@cosvi.com (787) ( Address) (Fax Number) OFFICERS Name Ricardo A. Rivera Cardona CPA Carlos L. González Rodríguez Julio Villafañe Juan M. Román, Business Expantion & Dev. VP CPA Gretel L. González, Compl. & Audit Director Edgar Rivera Lic Sonja Rojas CPA Carmen M. Pérez Rafaela González Héctor L. Rodríguez OTHERS Title President Finance VP & CFO VP Insurance Operation DIRECTORS OR TRUSTEES Evelyn Burgos, Human Resources VP Lcdo. Delwin Vélez, Legal Counselor Joaquín Torres Santos R. Almodóvar Lissette Rodríguez Samuel Borreli Luis R. Nieves State of Puerto Rico County of San Juan ss The officers of this reporting entity being duly sworn, each depose and say that they are the described officers of the said reporting entity, and that on the reporting period stated above, all of the herein described assets were the absolute property of the said reporting entity, free and clear from any liens or claims thereon, except as herein stated, and that this statement, together with related exhibits, schedules and explanations therein contained, annexed or referred to, is a full and true statement of all the assets and liabilities and of the condition and affairs of the said reporting entity as of the reporting period stated above, and of its income and deductions therefrom for the period ended, and have been completed in accordance with the NAIC Annual Statement Instructions and Accounting Practices and Procedures manual except to the extent that: (1) state law may differ; or, (2) that state rules or regulations require differences in reporting not related to accounting practices and procedures, according to the best of their information, knowledge and belief, respectively. Furthermore, the scope of this attestation by the described officers also includes the related corresponding electronic filing with the NAIC, when required, that is an exact copy (except for formatting differences due to electronic filing) of the enclosed statement. The electronic filing may be requested by various regulators in lieu of or in addition to the enclosed statement. (Signature) (Signature) (Signature) Ricardo A. Rivera Cardona CPA Carlos L. González Rodríguez Julio Villafañe (Printed Name) (Printed Name) (Printed Name) President Finance VP & CFO VP Insurance Operation (Title) (Title) (Title) Subscribed and sworn to before me this a. Is this an original filing? Yes[X] No[ ] day of, 2010 b. If no, 1. State the amendment number 2. Date filed 3. Number of pages attached (Notary Public Signature)

3 DIRECTORS OR TRUSTEES (continued) José M. Ferrer Carmen M. Lugo # Orlando Torres # 1.1

4 2 ANNUAL STATEMENT FOR THE YEAR OF THE 2009 COOPERATIVA DE SEGUROS DE VIDA DE PR, COSVI ASSETS Current Year Prior Year Net Admitted Nonadmitted Assets Net Admitted Assets Assets (Cols.1-2) Assets 1. Bonds (Schedule D) ,352, ,352, ,064, Stocks (Schedule D) 2.1 Preferred stocks ,943, ,943, ,611, Common Stocks ,134, ,134, ,920, Mortgage loans on real estate (Schedule B): 3.1 First liens ,323, ,323, ,279, Other than first liens Real estate (Schedule A): 4.1 Properties occupied by the company (less $...18,115,994 encumbrances) ,270, ,270, ,226, Properties held for the production of income (less $...0 encumbrances) Properties held for sale (less $...0 encumbrances) ,299, ,299, Cash ($...(2,955,707) Schedule E Part 1), cash equivalents ($...8,903,000 Schedule E Part 2) and short-term investments ($...16,300,004 Schedule DA) ,247, ,247, ,494, Contract loans (including $...0 premium notes) ,157, ,157, ,098, Other invested assets (Schedule BA) Receivables for securities Aggregate write-ins for invested assets Subtotals, cash and invested assets (Lines 1 to 9) ,729, ,729, ,695, Title plants less $...0 charged off (for Title insurers only) Investment income due and accrued ,775, ,775, ,335, Premiums and considerations: 13.1 Uncollected premiums and agents' balances in the course of collection ,756, ,258, ,498, ,451, Deferred premiums, agents' balances and installments booked but deferred and not yet due (Including $...0 earned but unbilled premiums) ,363, ,363, ,220, Accrued retrospective premiums Reinsurance: 14.1 Amounts recoverable from reinsurers , , , Funds held by or deposited with reinsured companies Other amounts receivable under reinsurance contracts , , Amounts receivable relating to uninsured plans , , , ,784, Current federal and foreign income tax recoverable and interest thereon Net deferred tax asset Guaranty funds receivable or on deposit Electronic data processing equipment and software ,210, , , , Furniture and equipment, including health care delivery assets ($...0) , , Net adjustment in assets and liabilities due to foreign exchange rates Receivables from parent, subsidiaries and affiliates Health care ($...0) and other amounts receivable Aggregate write-ins for other than invested assets ,107, ,255, ,851, ,690, Total assets excluding Separate Accounts, Segregated Accounts and Protected Cell Accounts (Lines 10 to 23) ,154, ,335, ,818, ,366, From Separate Accounts, Segregated Accounts and Protected Cell Accounts Total (Lines 24 and 25) ,154, ,335, ,818, ,366,759 DETAILS OF WRITE-INS Summary of remaining write-ins for Line 9 from overflow page TOTALS (Lines 0901 through 0903 plus 0998) (Line 9 above) Prepaid Expenses ,945, ,945, Receivable over 90 days , , Others ,852, ,000, ,851, ,690, Summary of remaining write-ins for Line 23 from overflow page TOTALS (Lines 2301 through 2303 plus 2398) (Line 23 above) ,107, ,255, ,851, ,690,416

5 3 ANNUAL STATEMENT FOR THE YEAR OF THE 2009 COOPERATIVA DE SEGUROS DE VIDA DE PR, COSVI LIABILITIES, SURPLUS AND OTHER FUNDS 1 2 Current Year Prior Year 1. Aggregate reserve for life contracts $...190,984,901 (Exhibit 5, Line ) less $...0 included in Line 6.3 (including $...0 Modco Reserve) ,984, ,292, Aggregate reserve for accident and health contracts (Exhibit 6, Line 17, Column 1) (including $...0 Modco Reserve) ,401, ,181, Liability for deposit-type contracts (Exhibit 7, Line 14, Col. 1) (including $...0 Modco Reserve) ,855, ,691, Contract claims: 4.1 Life (Exhibit 8, Part 1, Line 4.4, Column 1 less sum of Columns 9, 10, and 11) ,688, ,189, Accident and health (Exhibit 8, Part 1, Line 4.4, sum of Columns 9, 10, and 11) ,778, ,038, Policyholders' dividends $...0 and coupons $...0 due and unpaid (Exhibit 4, Line 10) ,125, ,246, Provision for policyholders' dividends and coupons payable in following calendar year - estimated amounts: 6.1 Dividends apportioned for payment (including $...0 Modco) , , Dividends not yet apportioned (including $...0 Modco) Coupons and similar benefits (including $...0 Modco) Amount provisionally held for deferred dividend policies not included in Line Premiums and annuity considerations for life and accident and health contracts received in advance less $...0 discount; including $...1,139 accident and health premiums (Exhibit 1, Part 1, Column 1, sum of Lines 4 and 14) , , Contract liabilities not included elsewhere: 9.1 Surrender values on canceled contracts Provision for experience rating refunds, including $...0 A & H experience rating refunds Other amounts payable on reinsurance; including $...0 assumed and $...0 ceded Interest Maintenance Reserve (IMR, Line 6) ,622, ,942, Commissions to agents due or accrued-life and annuity contracts $...0 accident and health $...0 and deposit-type contract funds $ Commissions and expense allowances payable on reinsurance assumed General expenses due or accrued (Exhibit 2, Line 12, Column 6) ,311, ,803, Transfers to Separate Accounts due or accrued (net) (including $...0 accrued for expense allowances recognized in reserves, net of reinsured allowances) Taxes, licenses and fees due or accrued, excluding federal income taxes (Exhibit 3, Line 9, Col. 5) , , Current federal and foreign income taxes, including $...0 on realized capital gains (losses) Net deferred tax liability Unearned investment income , , Amounts withheld or retained by company as agent or trustee Amounts held for agents' account, including $...0 agents' credit balances Remittances and items not allocated Net adjustment in assets and liabilities due to foreign exchange rates Liability for benefits for employees and agents if not included above , , Borrowed money $...0 and interest thereon $ ,134, ,132, Dividends to stockholders declared and unpaid Miscellaneous liabilities: 24.1 Asset Valuation Reserve (AVR, Line 16, Column 7) ,088, ,701, Reinsurance in unauthorized companies Funds held under reinsurance treaties with unauthorized reinsurers Payable to parent, subsidiaries and affiliates Drafts outstanding Liability for amounts held under uninsured plans , ,160, Funds held under coinsurance Payable for securities ,981, Capital notes $...0 and interest thereon $ Aggregate write-ins for liabilities ,336, ,590, TOTAL Liabilities excluding Separate Accounts Business (Lines 1 to 25) ,097, ,191, From Separate Accounts Statement TOTAL LIABILITIES (Lines 26 and 27) ,097, ,191, Common capital stock Preferred capital stock Aggregate write-ins for other than special surplus funds Surplus Notes ,447, ,657, Gross paid in and contributed surplus (Page 3, Line 33, Column 2 plus Page 4, Line 51.1, Column 1) Aggregate write-ins for special surplus funds ,812, ,808, Unassigned funds (surplus) (29,538,764) (29,290,346) 36. Less treasury stock, at cost: shares common (value included in Line 29 $...0) shares preferred (value included in Line 30 $...0) Surplus (Total Lines ) (Including $...0 in Separate Accounts Statement) ,720, ,175, TOTALS of Lines 29, 30 and 37 (Page 4, Line 55) ,720, ,175, TOTALS of Lines 28 and 38 (Page 2, Line 26, Column 3) ,818, ,366,759 DETAILS OF WRITE-INS Mortgage Funds ,888, ,705, Reserve Discontinued Operation ,289, Others ,158, ,885, Summary of remaining write-ins for Line 25 from overflow page TOTALS (Lines 2501 through 2503 plus 2598) (Line 25 above) ,336, ,590, Summary of remaining write-ins for Line 31 from overflow page TOTALS (Lines 3101 through 3103 plus 3198) (Line 31 above) Funds Contribution Certificates - Common ,170, ,166, Funds Contribution Certificates - Preferred ,641, ,641, Summary of remaining write-ins for Line 34 from overflow page TOTALS (Lines 3401 through 3403 plus 3498) (Line 34 above) ,812, ,808,364

6 4 ANNUAL STATEMENT FOR THE YEAR OF THE 2009 COOPERATIVA DE SEGUROS DE VIDA DE PR, COSVI SUMMARY OF OPERATIONS 1 2 Current Year Prior Year 1. Premiums and annuity considerations for life and accident and health contracts (Exhibit 1, Part 1, Line 20.4, Col. 1, less Col.11) ,812, ,251, Considerations for supplementary contracts with life contingencies ,246, , Net investment income (Exhibit of Net Investment Income Line 17) ,322, ,361, Amortization of Interest Maintenance Reserve (IMR, Line 5) , , Separate Accounts net gain from operations excluding unrealized gains or losses Commissions and expense allowances on reinsurance ceded (Exhibit 1, Part 2, Line 26.1, Column 1) Reserve adjustments on reinsurance ceded Miscellaneous Income: 8.1 Income from fees associated with investment management, administration and contract guarantees from Separate Accounts Charges and fees for deposit-type contracts , , Aggregate write-ins for miscellaneous income , (165,766) 9. TOTALS (Lines 1 to 8.3) ,268, ,882, Death benefits ,954, ,955, Matured endowments (excluding guaranteed annual pure endowments) Annuity benefits (Exhibit 8, Part 2, Line 6.4, Columns 4 + 8) , , Disability benefits and benefits under accident and health contracts ,234, ,916, Coupons, guaranteed annual pure endowments and similar benefits Surrender benefits and other fund withdrawals for life contracts ,470, ,467, Group conversions Interest and adjustments on contract or deposit-type contract funds ,212, ,496, Payments on supplementary contracts with life contingencies , , Increase in aggregate reserves for life and accident and health contracts ,912, ,384, TOTALS (Lines 10 to 19) ,037, ,447, Commissions on premiums, annuity considerations, and deposit type contract funds (direct business only) (Exhibit 1, Part 2, Line 31, Column 1) ,808, ,997, Commissions and expense allowances on reinsurance assumed (Exhibit 1, Part 2, Line 26.2, Column 1) General insurance expenses (Exhibit 2, Line 10, Columns 1, 2, 3 and 4) ,944, ,938, Insurance taxes, licenses and fees, excluding federal income taxes (Exhibit 3, Line 7, Columns ) ,580, ,853, Increase in loading on deferred and uncollected premiums , , Net transfers to or (from) Separate Accounts net of reinsurance Aggregate write-ins for deductions TOTALS (Lines 20 to 27) ,498, ,312, Net gain from operations before dividends to policyholders and federal income taxes (Line 9 minus Line 28) (229,544) (16,429,323) 30. Dividends to policyholders , Net gain from operations after dividends to policyholders and before federal income taxes (Line 29 minus Line 30) (229,544) (16,631,578) 32. Federal and foreign income taxes incurred (excluding tax on capital gains) Net gain from operations after dividends to policyholders and federal income taxes and before realized capital gains or (losses) (Line 31 minus Line 32) (229,544) (16,631,578) 34. Net realized capital gains (losses) (excluding gains (losses) transferred to the IMR) less capital gains tax of $...0 (excluding taxes of $...0 transferred to the IMR) ,525, (12,066,059) 35. Net Income (Line 33 plus Line 34) ,296, (28,697,637) CAPITAL AND SURPLUS ACCOUNT 36. Capital and surplus, December 31, prior year (Page 3, Line 38, Column 2) ,175, ,786, Net Income (Line 35) ,296, (28,697,637) 38. Change in net unrealized capital gains (losses) less capital gains tax of $ , (1,128,621) 39. Change in net unrealized foreign exchange capital gain (loss) Change in net deferred income tax Change in nonadmitted assets (1,232,853) (124,326) 42. Change in liability for reinsurance in unauthorized companies Change in reserve on account of change in valuation basis, (increase) or decrease (Exhibit 5A, Line , Col. 4) Change in asset valuation reserve (387,380) , Change in treasury stock (Page 3, Lines 36.1 and 36.2 Column 2 minus Column 1) Surplus (contributed to) withdrawn from Separate Accounts during period Other changes in surplus in Separate Accounts Statement Change in surplus notes Cumulative effect of changes in accounting principles Capital changes: 50.1 Paid in Transferred from surplus (Stock Dividend) Transferred to surplus Surplus adjustment: 51.1 Paid in Transferred to capital (Stock Dividend) Transferred from capital Change in surplus as a result of reinsurance Dividends to stockholders (1,134,372) 53. Aggregate write-ins for gains and losses in surplus ,794, ,418, Net change in capital and surplus for the year (Lines 37 through 53) ,545, (19,611,232) 55. Capital and surplus, December 31, current year (Lines ) (Page 3, Line 38) ,720, ,175,018 DETAILS OF WRITE-INS Others , (165,766) Summary of remaining write-ins for Line 8.3 from overflow page TOTALS (Lines through plus ) (Line 8.3 above) , (165,766) Summary of remaining write-ins for Line 27 from overflow page TOTALS (Lines 2701 through 2703 plus 2798) (Line 27 above) Capital Paid In , , Surplus Notes ,790, ,657, Special Surplus Fund Pension Plan , Summary of remaining write-ins for Line 53 from overflow page TOTALS (Lines 5301 through 5303 plus 5398) (Line 53 above) ,794, ,418,680

7 Cash from Operations CASH FLOW 1 2 Current Year Prior Year 1. Premiums collected net of reinsurance ,623, ,356, Net investment income ,238, ,878, Miscellaneous income , , Total (Lines 1 through 3) ,445, ,365, Benefit and loss related payments ,906, ,554, Net transfers to Separate Accounts, Segregated Accounts and Protected Cell Accounts Commissions, expenses paid and aggregate write-ins for deductions ,189, ,776, Dividends paid to policyholders , , Federal and foreign income taxes paid (recovered) net of $...0 tax on capital gains (losses) Total (Lines 5 through 9) ,435, ,977, Net cash from operations (Line 4 minus Line 10) ,010, ,388, Proceeds from investments sold, matured or repaid: Cash from Investments 12.1 Bonds ,692, ,922, Stocks ,585, ,409, Mortgage loans ,445, ,082, Real estate , Other invested assets Net gains or (losses) on cash, cash equivalents and short-term investments Miscellaneous proceeds ,981, ,132, Total investment proceeds (Lines 12.1 to 12.7) ,754, ,546, Cost of investments acquired (long-term only): 13.1 Bonds ,486, ,975, Stocks ,816, ,744, Mortgage loans , ,476, Real estate ,556, , Other invested assets Miscellaneous applications ,330, ,597, Total investments acquired (Lines 13.1 to 13.6) ,680, ,812, Net increase (decrease) in contract loans and premium notes , (111,104) 15. Net cash from investments (Line 12.8 minus Line 13.7 minus Line 14) (27,984,370) ,845, Cash provided (applied): Cash from Financing and Miscellaneous Sources 16.1 Surplus notes, capital notes ,790, Capital and paid in surplus, less treasury stock Borrowed funds ,001, (350,423) 16.4 Net deposits on deposit-type contracts and other insurance liabilities ,164, (6,515,266) 16.5 Dividends to stockholders ,134, Other cash provided (applied) ,771, ,534, Net cash from financing and miscellaneous sources (Lines 16.1 to 16.4 minus Line 16.5 plus Line 16.6) ,727, ,534,699 RECONCILIATION OF CASH, CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS 18. Net change in cash, cash equivalents and short-term investments (Line 11, plus Lines 15 and 17) (3,246,770) ,768, Cash, cash equivalents and short-term investments: 19.1 Beginning of year ,494, ,725, End of year (Line 18 plus Line 19.1) ,247, ,494,066 Note: Supplemental Disclosures of Cash Flow Information for Non-Cash Transactions:

8 6 ANNUAL STATEMENT FOR THE YEAR OF THE 2009 COOPERATIVA DE SEGUROS DE VIDA DE PR, COSVI ANALYSIS OF OPERATIONS BY LINES OF BUSINESS 1 2 Ordinary 6 Group Accident and Health Credit Life Aggregate of All Industrial Life Individual Supplementary (Group and Life Credit (Group Other Lines Total Life Insurance Annuities Contracts Individual) Insurance (a) Annuities Group and Individual) Other of Business 1. Premiums and annuity considerations for life and accident and health contracts ,812, ,610, ,747, ,009, ,267, ,295, , ,725, Considerations for supplementary contracts with life contingencies ,246, ,246, Net investment income ,322, ,736, ,696, , ,357, , ,370, , , ,041, Amortization of Interest Maintenance Reserve (IMR) , , , , , , , , , Separate Accounts net gain from operations excluding unrealized gains or losses Commissions and expense allowances on reinsurance ceded Reserve adjustments on reinsurance ceded Miscellaneous Income 8.1 Fees associated with income from investment mngmt., admin., and contract guarantees (From S.A.) Charges and fees for deposit-type contracts , , Aggregate write-ins for miscellaneous income , , , , , , , , TOTALS (Lines 1 to 8.3) ,268, ,416, ,607, ,370, ,422, ,842, ,759, ,879, , ,781, Death benefits ,954, ,223, ,570, ,160, Matured endowments (excluding guaranteed annual pure endowments) Annuity benefits , , Disability benefits and benefits under accident and health contracts ,234, ,154, , ,025, Coupons, guaranteed annual pure endowments and similar benefits Surrender benefits and withdrawals for life contracts ,470, ,829, ,641, Group conversions Interest and adjustments on contract or deposit-type contract funds ,212, , ,537, , ,026, Payments on supplementary contracts with life contingencies , , Increase in aggregate reserves for life and accident and health contracts ,912, , ,536, ,126, ,101, (136,534) , (70,706) (42,836) , TOTALS (Lines 10 to 19) ,037, ,688, ,715, ,234, ,671, ,024, ,247, ,084, , ,358, Commissions on premiums, annuity considerations, and deposit-type contract funds (direct business only) ,808, ,414, , , , , ,091, , ,457, Commissions and expense allowances on reinsurance assumed General insurance expenses ,944, ,547, ,295, , ,485, ,337, , ,057, , ,464, Insurance taxes, licenses and fees, excluding federal income taxes ,580, , , , , , , , , , Increase in loading on deferred and uncollected premiums , , (827) Net transfers to or (from) Separate Accounts net of reinsurance Aggregate write-ins for deductions TOTALS (Lines 20 to 27) ,498, ,978, ,725, ,316, ,014, ,960, ,859, ,919, , ,598, Net gain from operations before dividends to policyholders and federal income taxes (Line 9 - Line 28) (229,542) ,437, (1,117,041) , , , (99,661)... (3,040,488) , ,182, Dividends to policyholders Net gain from operations after dividends to policyholders and before federal income taxes (Line 29 - Line 30)..... (229,542) ,437, (1,117,041) , , , (99,661)... (3,040,488) , ,182, Federal income taxes incurred (excluding tax on capital gains) Net gain from operations after dividends to policyholders and federal income taxes and before realized capital gains or (losses) (Line 31 minus Line 32) (229,542) ,437, (1,117,041) , , , (99,661)... (3,040,488) , ,182, DETAILS OF WRITE-INS , , , , , , , , Summary of remaining write-ins for Line 8.3 from overflow page TOTALS (Lines through plus ) (Line 8.3 above) , , , , , , , , Summary of remaining write-ins for Line 27 from overflow page TOTALS (Lines 2701 through 2703 plus 2798) (Line 27 above) (a) Includes the following amounts for FEGLI/SGLI: Line 1 $...0,Line 10 $...0, Line 16 $...0, Line 23 $...0,Line 24 $...0.