STATE OF MARYLAND MARYLAND INSURANCE ADMINISTRATION

Transcription

1 MARKET CONDUCT EXAMINATION REPORT OF THE LIFE INSURANCE BUSINESS OF GUARDIAN LIFE INSURANCE COMPANY OF AMERICA (NAIC #64246) 7 Hanover Square Mail Station H-23-N New York, NY Report No. MCLH E Examination Period~January 1, 2012 September 30, 2012 INSURANCE ADMINISTRATION STATE OF MARYLAND MARYLAND INSURANCE ADMINISTRATION THERESE M. GOLDSMITH, COMMISSIONER MARCH 21, 2013

2 MARTIN O MALLEY Governor ANTHONY G. BROWN Lt. Governor MARYLAND INSURANCE ADMINISTRATION THERESE M. GOLDSMITH Commissioner KAREN STAKEM HORNIG Deputy Commissioner THOMAS L. MARSHALL Associate Commissioner Compliance & Enforcement March 21, St. Paul Place, Suite 2700, Baltimore, Maryland Direct Dial: Fax: thomas.marshall~maryland.gov TTY: The Honorable Therese M. Goldsmith Commissioner of Ilisurance State of Maryland 200 St. Paul Place, Suite 2700 Baltimore, Maryland Dear Commissioner Goldsmith: Pursuant to your instructions and authorization, an Examination has been market conduct affairs of: made of the Sincerely, Signature on file with original omas L. Marshall Associate Commissi ner Compliance & Enforcement GUARDIAN LIFE INSURANCE COMPANY OF AMERICA whose home office is located at 7 Hanover Square, Mail Station H-23-N, New York, New York The report of such Examination is being respectfully submitted.

3 TABLE OF CONTENTS SECTION PAGE I. EXECUTIVE SUMMARY I II. SCOPE OF EXAMINATION 2 III. COMPANY PROFILE 3 IV. CLOSING 4 V. EXAMINATION REPORT SUBMISSION 5 Guardian Life Insurance Company of America - MCLH E

4 I. EXECUTIVE SUMMARY The Maryland Insurance Administration (hereinafter ~Administration ) conducted a target Market Conduct Examination ( Examination ) of Guardian Life Insurance Company of America (hereinafter Company ). The purpose of the Examination was to assess the Company s business practices as they relate to Retained Assets Accounts to determine compliance with applicable Maryland insurance laws and regulations. The period covered by the Examination was January 1, 2012 through September 30, 2012 (hereinafter Examination period ). A total of 10 randomly selected files were reviewed. No violations were identified during the Examination period. Guardian Life Insurance Company of America - MCLH E

5 II. SCOPE OF EXAMINATION An Examination has been performed on the Company and a Report thereon is submiffed as follows: The Examination was conducted pursuant to ~2-205, 2-207, 2-208, and of the Annotated Code of Maryland, Insurance Article and of the Code of Maryland Regulations. The Examination period was from January 1, 2012 through September 30, The purpose ofthe Examination was to assess the Company s compliance with applicable Maryland laws and regulations relating to Retained Assets Accounts. All non-compliant practices may not have been discovered or noted in the Report. Failure to identify or criticize non-compliant business practices in Maryland or other jurisdictions does not constitute acceptance of such practices. Examination findings, if any, that do not reference specific insurance laws, regulations, or bulletins are presented to improve the Company s praotice~and ensure consumer protection. The examination and testing methodologies followed standards established by the National Association of Insurance Commissioners and procedures developed by the Administration. All sample files were selected by using a computergenerated random sample program unless otherwise stated herein. The Company was requested to provide the total population for the area listed in the chart below: AREA POPULATION SIZE SAMPLE SIZF Individual Life Claims 5 5 Group Life Claims 5 5 Total: Guardian Life Insurance Company of America - MCLH E 2

6 III. COMPANY PROFILE Date Incorporated: 4/1 0/1 860 Date Commenced: 7/1 6/1 860 Domicile: NY Guardian Life Group, (Guardian) 1 through its subsidiaries, provides a full range of products including individual insurance (individual life, individual disability, multi-life) group business (medical and non-medical), retirement solutions (annuities, 401 k and mutual funds), and other related products and services. Guardian targets the small business owner, upper-income life insurance and disability income market and the small/medium case group employee benefits market. AM. Best Company, Inc. AMB Credit Report - Insurance Professional for Guardian Life Insurance Company of America, Company Profile. Rating Id= &AItSrc~25&Ext User=&Ext Misc= copied for this Report on 02/28/2013. Guardian Life Insurance Company of America - MCLH E 3

7 V. CLOSING A total of 10 randomly selected files were reviewed. No violations were identified during the Examination period. Guardian Life Insurance Company of America - MCLH E 4

8 V. EXAMINATION REPORT SUBMISSION The courtesy and cooperation extended by the officers and employees of the Company during the course of the Examination are hereby acknowledged. Signature on file with original ~omasl. Marshall Associate Commissioner Compliance & Enforcement In addition, the following individuals participated in this Examination and in the preparation of this Report: Maxine Brooks Market Conduct Examiner Compliance & Enforcement Unit Kristen A. Walter Market Conduct Associate Compliance & Enforcement Unit Guardian Life Insurance Company of America - MCLH E 5