Insurance

We are the premier source of accounting, audit, tax, and consulting expertise for insurance companies in the Western states.

Insurance Entity Concerns

We understand that insurance entities have unique accounting concerns including the following:

§          While many insurance companies prepare GAAP statements for internal use, statutory filings are required by all licensed insurance companies.  These regulations are very different from GAAP regulations.  Because of this, only individuals with industry specific expertise can fully comprehend the impact of different transactions.  And without this understanding, it is difficult for an insurance company to operate successfully long-term.   

§          Insurance companies must comply with unique tax rules and regulations with regard to their income.  Many states use forms different from the standard state income tax forms for reporting premium tax income.  Also, federal income tax calculations on insurance income include differences in discounting reserves for tax purposes and in making adjustments to unearned premium. 

Audit & Tax Services

§         Statutory Audit    Annual audits are required for most insurance companies.  Because of the difference in required filings and GAAP accounting it is always prudent to retain an audit firm that is very familiar with insurance regulations.  Our firm meets this criteria.

§         SAS 70 Audit    An internal control audit, these audits are quickly becoming required by more and more insurance companies and insurance-related organizations.  We can both help you evaluate the value of this audit to your organization and then perform this audit for you.

§         Insurance Department Audit    State insurance departments periodically audit all insurance companies licensed within their state.  Because these audits can be very demanding, insurance companies need to take these audits into consideration as they make accounting decisions in the periods between these audits.  We can assist you in working with your state insurance department so as to insure that their audit goes as smoothly as possible. 

Specialty Services

§         Start-up Consulting    In addition to providing you with access to our team of legal, actuarial, and operational associates, we walk you through the following steps which are integral to the success of a new insurance company: business plan composition, pro forma financial statement calculations, product consultations, and UCAA application form preparation.

§         Liquidation    Our experienced consultants help you avoid costly liquidations.    

§         Mergers & Acquisitions    We help you address the tax, RBC, and operational considerations associated with mergers and acquisitions, in addition to the many complicated regulatory issues. 

Other Services 

§          Insurance licensing assistance

§          Forecasting and business plan assistance

§          Start-up consultations including general ledger set up and accounting software testing

§          Regulatory financial statement preparation

§          Statutory accounting training

§          Quarterly and annual insurance department filings

§          RBC calculations

§          Forecasts of the impact specific investment and business decisions have on RBC

§          Long-term investment strategy analysis

Client Testimonial

"We’ve been with Larson for over fifteen years, and we continue to use them because they provide us with a real cost benefit.  The auditors are efficient and friendly, and we’ve developed a good relationship with them." 

Fred Meese, Great Western Insurance Company

CONTACTS:
     Dennis T. Larson, Managing Partner
     Geri A. Douglas, Partner

     Bill Rosenberger, Partner