NAIC Annual Financial Reporting Model Regulation (Model Audit Rule, MDL-205) mdl205-s4d-audit-committee-designation: Designate the audit committee, or elect the controlling entity's audit committee with written notice to the commissioners

Every insurer that must file an audited financial report must name a group of individuals as its audit committee in the section 3 sense. A controlling person may elect that the audit committee of the entity controlling the insurer serves as the insurer's audit committee; under section 14F the election is made by writing to the commissioner of each affected insurer before the statutory audit report is issued, states its basis, and remains in effect until rescinded by a further notice.