(1) The annual audited financial report shall report the financial position of the insurer as of the end of the most recent calendar year and the results of its operations, cash flows and changes in capital and surplus for the year then ended, all in conformity with statutory accounting practices prescribed, or otherwise permitted, by the department of insurance of the state of domicile.
(2) The annual audited financial report shall include the following:
(a) report of independent certified public accountant;
(b) balance sheet reporting admitted assets, liabilities, capital, and surplus;
(c) statement of operations;
(d) statement of cash flow;
(e) statement of changes in capital and surplus; and
(f) notes to financial statements;
(i) These notes shall be those required by the appropriate 2018 NAIC Annual Statement Instructions and the March 2018 NAIC Accounting Practices and Procedures Manual, which are adopted and incorporated by reference, and may be obtained from the NAIC at http://www.naic.org/prod_serv_alpha_listing.htm. The notes shall include reconciliation of differences, if any, between the audited statutory financial statements and the annual statement filed pursuant to 33-2-701, 33-4-313, 33-7-118, 33-30-107, 33-31-211, MCA, with a written description of the nature of these differences.
(3) The financial statements included in the audited financial report shall be prepared in a form, and using language and groupings substantially the same as the relevant sections of the annual statement of the insurer filed with the commissioner, and the financial statement must be comparative, presenting the amounts as of December 31 of the current year and the amounts as of the immediately preceding December 31. In the first year in which an insurer is required to file an audited financial report, the comparative data may be omitted.