Final answer:
Insurance companies are required to submit financial statements based on Statutory Accounting Principles (SAP) instead of Generally Accepted Accounting Principles (GAAP), emphasizing solvency and the ability to pay claims.
Step-by-step explanation:
The statement that insurance companies are required to submit uniform financial statements based on statutory accounting principles (SAP) rather than generally accepted accounting principles (GAAP) is A. True. Insurance companies use SAP because it places more emphasis on solvency and the ability to pay claims, which is vital for the nature of insurance businesses. GAAP, on the other hand, is more widely used by other types of companies and focuses on providing a clear view of a company's financial performance and position to investors and other stakeholders.