<html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><title></title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s89789f59-4d15-44b1-9534-d17f8eaab011P0 { margin-top: 0; margin-bottom: 0; margin-left: 0; margin-right: 0; text-indent: 0.00in; text-align: justify; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; } span.s89789f59-4d15-44b1-9534-d17f8eaab011C0 { background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s89789f59-4d15-44b1-9534-d17f8eaab011C0-000000 { color: #0000FF; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s89789f59-4d15-44b1-9534-d17f8eaab011C0-000001 { background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s89789f59-4d15-44b1-9534-d17f8eaab011000002 { background: white; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s89789f59-4d15-44b1-9534-d17f8eaab011C0-000003 { color: #0000FF; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s89789f59-4d15-44b1-9534-d17f8eaab011C2 { color: #0000FF; background: white; font-family: 'Times New Roman', 'serif'; font-size: 12pt; text-decoration: underline; font-style: normal; font-weight: normal; margin: 0; padding: 0; } </style></head><body><div><p dir="ltr" class="s89789f59-4d15-44b1-9534-d17f8eaab011P0"><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">    </span><a href="https://sdlegislature.gov/Rules?Rule=20:06:25:01.01"><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0-000000">20:06:25:01.01</span></a><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0-000001">.  Accounting methods for certain surety bonds.</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> </span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">An insurer</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> writing surety bonds guaranteeing to lending institutions the repayment of student loans made by lending institutions may, in lieu of compliance with SSAP</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> No. </span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">60 of the</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> Accounting Practices and Procedures Manual, </span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">2025 edition, </span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">develop premium earning patterns that are representative of the</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> insurer's</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> claims and expense patterns by loan and program, and compute unearned premium reserves according to those premium earning patterns. In lieu of compliance with SSAP</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> No. </span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">3 of the Accounting Practices and Procedures Manual, </span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">2025 edition, </span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">changes in accounting estimates, for this method of accounting only, may be amortized over the remaining life of the student loans utilizing pro-rated current premium earning patterns. In lieu of compliance with SSAP</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> No. </span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">53 of the Accounting Practices and Procedures Manual, </span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">2025 edition, the</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> insurer may recognize written premiums when du</span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">e.</span></p><p dir="ltr" class="s89789f59-4d15-44b1-9534-d17f8eaab011P0"><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011000002"> </span></p><p dir="ltr" class="s89789f59-4d15-44b1-9534-d17f8eaab011P0"><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">    </span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0-000001">Source:</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> 27 SDR 111, effective May 7, 2001; 29 SDR 5, effective July 10, 2002; 30 SDR 39, effective September 28, 2003; 31 SDR 21, effective August 23, 2004; 33 SDR 59, effective October 5, 2006; 34 SDR 271, effective May 6, 2008; 35 SDR 165, effective December 22, 2008; 36 SDR 209, effective July 1, 2010; 37 SDR 241, effective July 1, 2011; 38 SDR 219, effective June 25, 2012; 39 SDR 219, effective June 26, 2013; 41 SDR 41, effective September 17, 2014; 42 SDR 52, effective October 13, 2015</span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">; 42 SDR 177, effective June 28, 2016</span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">; 45 SDR 10, effective August 2, 2018; 46 SDR 26, effective September 4, 2019;</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> 46 SDR 147, effective July 2, 2020; 47 SDR 137, effective June 28, 2021; 49 SDR 9, effective August 9, 2022; 50 SDR 13, effective August 10, 2023; 50 SDR 157, effective July 1, 2024; 51 SDR 142, effective July 3, 2025</span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">.</span></p><p dir="ltr" class="s89789f59-4d15-44b1-9534-d17f8eaab011P0"><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">    </span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0-000001">General Authority:</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> SDCL </span><a href="https://sdlegislature.gov/Statutes?Statute=58-6-75"><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0-000003">58-6-75</span></a><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">.</span></p><p dir="ltr" class="s89789f59-4d15-44b1-9534-d17f8eaab011P0"><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">    </span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0-000001">Law Implemented:</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> SDCL </span><a href="https://sdlegislature.gov/Statutes?Statute=58-6-75"><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0-000003">58-6-75</span></a><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">.</span></p><p dir="ltr" class="s89789f59-4d15-44b1-9534-d17f8eaab011P0"><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011000002"> </span></p><p dir="ltr" class="s89789f59-4d15-44b1-9534-d17f8eaab011P0"><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">    </span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0-000001">Reference:</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0"> </span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0-000001">Accounting Practices and Procedures Manual</span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">, 20</span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">25 edition</span><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">. Copies may be obtained from the National Association of Insurance Commissioners, 1100 Walnut Street, Ste. 1500, Kansas City, MO 64106-2197, (816) 783-8300; </span><a href="http://www.naic.org/"><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C2">http://www.naic.org</span></a><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">. Cost: $</span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">0</span><span class="s89789f59-4d15-44b1-9534-d17f8eaab011C0">.</span></p><p dir="ltr" class="s89789f59-4d15-44b1-9534-d17f8eaab011P0"><span xml:space="preserve" class="s89789f59-4d15-44b1-9534-d17f8eaab011000002"> </span></p></div></body></html>