Missouri Revised Statutes
Chapter 375
Provisions Applicable to All Insurance Companies
←375.1250
Section 375.1252.1
375.1255→
August 28, 2015
RBC report, filed when--contents--formula, how determined--adjusted RBC report required, when.
375.1252. 1. Every domestic insurer and every health organization
shall, on or prior to each March first, prepare and submit to the director
a report of its RBC level as of the end of the calendar year just ended, in
a form and containing such information as is required by the RBC
instructions. In addition, every domestic insurer and every domestic
health organization shall file its RBC report:
(1) With the NAIC in accordance with the RBC instructions; and
(2) With the chief insurance regulatory official in any state in
which the insurer or health organization is authorized to do business, if
such official has notified the insurer or health organization of its
request in writing, in which case the insurer or health organization shall
file its RBC report not later than the later of:
(a) Fifteen days from the receipt of notice to file its RBC report
with that state; or
(b) The filing date.
2. A life and health insurer's RBC shall be determined in accordance
with the formula set forth in the RBC instructions. The formula shall take
into account and may adjust for the covariance between:
(1) The risk with respect to the insurer's assets;
(2) The risk of adverse insurance experience with respect to the
insurer's insurance liabilities and obligations;
(3) The interest rate risk with respect to the insurer's business;
and
(4) All other business risks and such other relevant risks as are set
forth in the RBC instructions. Such risks shall be determined in each case
by applying the factors in the manner set forth in the RBC instructions.
3. A property and casualty insurer's RBC shall be determined in
accordance with the formula set forth in the RBC instructions. The formula
shall take into account and may adjust for the covariance between:
(1) Asset risk;
(2) Credit risk;
(3) Underwriting risk; and
(4) All other business risks and such other relevant risks as are set
forth in the RBC instructions. Such risks shall be determined in each case
by applying the factors in the manner set forth in the RBC instructions.
4. A health organization's RBC shall be determined in accordance with
the formula set forth in the RBC instructions. The formula shall take into
account and may adjust for the covariance between:
(1) Asset risk;
(2) Credit risk;
(3) Underwriting risk; and
(4) All other business risks and such other relevant risks as are set
forth in the RBC instructions. Such risks shall be determined in each case
by applying the factors in the manner set forth in the RBC instructions.
5. Insurers and health organizations should seek to maintain capital
above the RBC levels required by sections 375.1250 to 375.1275, as such
additional capital helps to secure an insurer against various risks
inherent in, or affecting, the business of insurance and not accounted for
or partially measured by the risk-based capital requirements contained in
sections 375.1250 to 375.1275.
6. If a domestic insurer or domestic health organization files an RBC
report which in the judgment of the director is inaccurate, then the
director shall adjust the RBC report to correct the inaccuracy and shall
notify the insurer or health organization of the adjustment. The notice
shall contain a statement of the reason for the adjustment. An RBC report
as so adjusted is referred to as an "adjusted RBC report".
(L. 1993 H.B. 709 § 2, A.L. 1996 S.B. 759, A.L. 2014 H.B. 1968)
1996
1996
375.1252. 1. Every domestic insurer shall, on or prior to each March
first, prepare and submit to the director a report of its RBC level as of the
end of the calendar year just ended, in a form and containing such
information as is required by the RBC instructions. In addition, every
domestic insurer shall file its RBC report:
(1) With the NAIC in accordance with the RBC instructions; and
(2) With the chief insurance regulatory official in any state in which
the insurer is authorized to do business, if such official has notified the
insurer of its request in writing, in which case the insurer shall file its
RBC report not later than the later of:
(a) Fifteen days from the receipt of notice to file its RBC report with
that state; or
(b) The filing date.
2. A life and health insurer's RBC shall be determined in accordance
with the formula set forth in the RBC instructions. The formula shall take
into account and may adjust for the covariance between:
(1) The risk with respect to the insurer's assets;
(2) The risk of adverse insurance experience with respect to the
insurer's insurance liabilities and obligations;
(3) The interest rate risk with respect to the insurer's business; and
(4) All other business risks and such other relevant risks as are set
forth in the RBC instructions. Such risks shall be determined in each case
by applying the factors in the manner set forth in the RBC instructions.
3. A property and casualty insurer's RBC shall be determined in
accordance with the formula set forth in the RBC instructions. The formula
shall take into account and may adjust for the covariance between:
(1) Asset risk;
(2) Credit risk;
(3) Underwriting risk; and
(4) All other business risks and such other relevant risks as are set
forth in the RBC instructions. Such risks shall be determined in each case by
applying the factors in the manner set forth in the RBC instructions.
4. Insurers should seek to maintain capital above the RBC levels
required by sections 375.1250 to 375.1275, as such additional capital helps
to secure an insurer against various risks inherent in, or affecting, the
business of insurance and not accounted for or partially measured by the
risk-based capital requirements contained in sections 375.1250 to 375.1275.
5. If a domestic insurer files an RBC report which in the judgment of
the director is inaccurate, then the director shall adjust the RBC report to
correct the inaccuracy and shall notify the insurer of the adjustment. The
notice shall contain a statement of the reason for the adjustment. An RBC
report as so adjusted is referred to as an "adjusted RBC report".
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