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Palmetto Surety Corporation Case Study

For Insurance Statutory Compliance, Financial Management & Regulatory Support.

The Challenge

Palmetto Surety Corporation, a South Carolina-based commercial and court surety bond provider, faced complex challenges around their annual NAIC statutory reporting. The company needed comprehensive support across multiple filing components: Schedule D (investments), Schedule E (notes to financial statements), RBC calculations, and supporting documentation. The complexity of surety bond accounting required specialized expertise that their internal team could not fully support. Additionally, their data coordination processes needed optimization to ensure efficient, accurate reporting that would withstand regulatory scrutiny.

The Solution

ARC Strategic Services partnered with Palmetto Surety to strengthen their statutory reporting and regulatory compliance. Understanding the common problems with NAIC annual statement filings, we implemented targeted solutions:

  • NAIC Statutory Filing Support – Expert guidance on annual and quarterly filings, ensuring accuracy, completeness, and full regulatory compliance.
  • Risk-Based Capital Analysis & Forecasting – Comprehensive RBC forecast and analysis to provide insights for capital planning and strengthen regulatory standing.
  • Financial Schedule Enhancement & Investment Calculations – Review and enhancement of critical schedules, with expert calculation of bond amortization and investment valuations.

The Results

Over the past year of partnership, Palmetto Surety has achieved significant improvements in their statutory reporting quality and regulatory standing:

✓ Strengthened NAIC filings – Enhanced Schedules D & E and improved overall financial statement quality, reducing examiner findings.

✓ Robust RBC forecasting – Comprehensive Risk-Based Capital analysis provides confidence in capital planning and regulatory standing.

✓ Improved process efficiency – Streamlined data coordination and process improvements result in faster, more accurate reporting.

As Palmetto’s CFO noted, the ARC team’s “depth of knowledge and insight is outstanding” and their “efficiency and timely” approach has been “instrumental in helping us enhance our Notes as well as several schedules.” The partnership has successfully relieved Palmetto’s statutory and regulatory burden, allowing their team to focus on strategic initiatives and growth.

“We have been partnering with the ARC team for a year now and are so happy with our decision to work with this team. Their depth of knowledge and insight is outstanding. They are efficient and timely with a high degree of communication, quality and accuracy in completing our NAIC statutory filings. Recently, the ARC team prepared a Risk Based Capital Forecast and Analysis for us prior to year-end. ARC also provided the review and investment calculations for year-end amortization of bond discount and premium. The experience of this team was instrumental in helping us enhance our Notes as well as several schedules, including Schedules D and E. They also helped with process improvement for data coordination for the Notes and Schedules. They are relieving our statutory and regulatory burden and I look forward to a long partnership with the ARC team!”

Colleen H.

CFO, Palmetto Surety

About Palmetto Surety Corporation

Palmetto Surety Corporation is domiciled in South Carolina and provides commercial and court surety bonds at all levels throughout the Southeast. The company constantly strives to advance the surety bond industry by utilizing state-of-the-art technologies and developing custom-built solutions that allow them to approve and underwrite most applications within 24 hours. Their commitment to efficiency, innovation, and customer service has made them a trusted partner for bonding solutions across the region.

Services Provided

NAIC Statutory Filing Support

Expert guidance on annual and quarterly NAIC filings with focus on accuracy and regulatory alignment.

Risk-Based Capital Analysis

Comprehensive RBC forecasting and analysis to strengthen capital planning and regulatory standing.

Financial Schedule Enhancement

Review and enhancement of critical financial schedules (D, E, Notes) to improve transparency.

Investment & Data Coordination

Investment calculations, bond amortization reviews, and streamlined data coordination.

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