Regulations Governing Management of Insurance Guaranty Funds Article 12

Prior to preparing an annual budget, the Guaranty Fund shall draw up the annual work plan pursuant to the Articles of Endowment, get the plan passed by the board of directors, and then submit the same to the competent authority for approval. The Guaranty Fund shall submit the budget and the work plan for the next fiscal year before July 31 each year, and submit the final accounts report and the work results (report) of the previous year before April 15 each year. The documents shall be submitted to the competent authority for recordation after they are approved by the board of directors.Where the Guaranty Fund is required to increase expenditures due to material changes in the market and actual business requirements, the expenditures shall be submitted to the competent authority for approval after they are approved by the board of directors. The expenditures may be included in the annual final accounts once they are approved by the competent authority.The budget in Paragraph 1 shall at least include projected balance sheet, projected statement of revenue and expenditure, projected statement of cash flow, and projected statement of changes in net worth. The final accounts report shall at least include the balance sheet, statement of revenue and expenditure, cash flow statement, and statement of changes in net worth.The final accounts report of the fiscal year of the Guaranty Fund shall be audited and certified by a certified public accountant. The independent auditor’s report, together with the final accounts report, shall be submitted to the competent authority for recordation.The final accounts report and work results (report) specified in Paragraph 1 shall be submitted to all supervisors for conducting audit separately after they are approved by the board of directors. The reports shall be submitted to competent authority for recordation along with the supervisory report for the preceding years prepared by the supervisor.