(NAR) VOL. 14 NOS. 3-4 / JULY-DECEMBER 2003
3.1 | With the exception of premium arrearages, interests shall not be condoned while penalties and surcharges may be waived up to 100% of the computed amount. |
3.2 | In the case of premium arrearages where the law provides interests at the rate of at least 2% interest per month on arrearages (but with no penalties and surcharges), interests may be condoned up to 50% of the computed amounts. |
3.3 | The effective yield on the account, net of the condoned amount, shall at all times meet the actuarial yield requirement of the fund, but, in no case, shall the effective yield be lower than 12%. |
RESOLVED FURTHER: That the Corporate Planning Services, in coordination with the Actuarial Services, shall prepare the Policy and Procedural Guidelines, to include, among others, the recommended computational approach to arrive at the effective yield of the transaction. For uniformity, the Controller Services, on the other hand, shall prescribe the accounting entries to take up the transaction in the books.
Adopted: 2 April 2003 ( Board Meeting No. 7)