How frequently are the CARRMEL and Enterprise Risk Management ("ERM") Questionnaires administered?
At this time, the Minnesota Department of Commerce sends the questionnaires prior to the company's regulatory financial examination, every five years for insurance companies and every 3 years for Health Maintenance Organizations (HMO's).
In answering the questions, what level of detail does the Minnesota Department of Commerce expect to receive?
While there is no specific limit to the length of the responses, it is expected that the responses will consist of an executive summary, generally describing how specific risks are handled within the organization, rather than extremely detailed responses. We will request further information if necessary.
How do you attach additional documents in order to further explain an answer to a particular question?
In general, we are not requiring such detailed information. If the company believes a document would assist in our understanding, the company should mention the document in its reply. We will request further information if necessary.
For the CARRMEL questionnaire, is MNDOC looking for a narrative response to the questions?
The "impact" and "probability" ratings do not seem to be applicable for this questionnaire.
Only narrative responses are appropriate for the CARRMEL questionnaire. The "impact" and "probability" ratings pertain to the ERM Questionnaire.
Should companies focus on economic loss or financial statement misrepresentation?The main focus should be on economic loss. Question #30 addresses financial statement presentation risk from a controls and management perspective. Question # 43 addresses financial presentation risk from a legal perspective. To the extent that economic loss could be caused by presentation errors, economic loss should remain the focus.
Both ERM and CARRMEL questionnaires include a column labeled "Residual Risk". Is the Company expected to populate this field with a rating? If so, what rating criteria should be used (i.e. High/Medium/Low)?
No. The score for residual risk is calculated rather than entered.
How is information entered when the "View All Questions" report option is selected?
This option allows responses to be reviewed. It is intended to be a starting reference point for data entry.
Are the ERM and CARRMEL Questionnaires public?
The questionnaires themselves are public. However, the responses may contain sensitive, confidential information and are protected as examination workpapers. (MN Statutes Section 60A.03).
Will the responses to the CARRMEL and ERM Questionnaires be shared with other insurance departments?
We anticipates that the responses may be shared with other insurance departments, as part of the current develpment of consistent standards for surveillance and examination.
How will confidentiality be maintained if the responses are shared with other insurance departments?
Information will be shared with other insurance departments only after they have provided the proper confidentiality agreements.
Which software do companies need to complete the questionnaires?
Companies need Microsoft Access version 2000 and above to complete the questionnaire. It is recommended that the questionnaire file be placed on a shared network drive. This can be helpful if the individuals completing the various sections of the questionnaires are from different organization units.
To whom should completed questionnaires be sent?
The completed questionnaires should be copied onto a disk and mailed to the following address:
Minnesota Department of Commerce
C/O Peter Foley II, Insurance Examinations Coordinator
85 7th Place E. Suite 500
St. Paul, MN 55101
What files do I need to submit?
Please complete and submit the questionnaires using the Microsoft Access database format. If you decide to make the updates in Microsoft Word, please be sure to cut and paste your responses into the MS Access database.
Is there technical assistance available for accessing the reports?
Contact Insurance Examinations Coordinator Peter Foley II at (651) 296-8541, or E-mail at firstname.lastname@example.org.