Do I record an unrealized statutory gain on my securities lending agreements (Schedule DL issues)

Phil:

Accounting guidance/treatment for Unrealized Gains/Losses on Security Lending Agreements is a very complex subject best answered by the firms Auditors. Any thoughts I could givce is based on expeiences and observastions rather than a firm grasp of the underlying accounting.I am far more a Treasury than Accounting expert.

Accordingly I must pass on your question.

David

Phil, I just happen to have an Insurance software solutions company as one of our portfolio companies, so I modestly exposed to the heavy regulatory reporting issues in the Insurance industry...

If I'm correct Schedule DL is an NAIC requirement. As such, it is my understanding that you must report unrealized gains and losses on securities held for investment, and any associated leverage/debts/loans attached or securitized against the security. The issue of solvency is an acute issue in the industry these days, so expect more disclosures. Here is a link to an industry member I think has good online guidance:
http://www.stoneriver.com/content/naic-focus

If you're not adequately educated in the industry I STRONGLY urge you, as David did, to discuss with your company's Audit Firm, as they should have adequate training in Insurance Industry reporting.

Keith