375.1250. Definitions.
Definitions.
375.1250. As used in sections 375.1250 to 375.1275 and in the Risk-BasedCapital (RBC) Instructions, the following terms mean:
(1) "Adjusted RBC report", an RBC report which has been adjusted inaccordance with subsection 5 of section 375.1252;
(2) "Corrective order", an order issued by the director specifyingcorrective actions which the director has determined are required;
(3) "Director", the director of the department of insurance, financialinstitutions and professional registration;
(4) "Domestic insurer", any insurance company domiciled in this state;
(5) "Foreign insurer", any insurance company which is licensed to dobusiness in this state under section 375.791, but is not domiciled in thisstate;
(6) "Life and health insurer", any insurance company licensed underchapter 376, RSMo, or a licensed property and casualty insurer writing onlyaccident and health insurance;
(7) "NAIC", the National Association of Insurance Commissioners;
(8) "Negative trend", with respect to life and health insurers, anegative trend over a period of time, as determined in accordance with thetrend test calculations included in the RBC instructions;
(9) "Property and casualty insurer", any insurance company licensedunder chapter 379, RSMo, but such term shall not include monoline mortgageguaranty insurers, financial guaranty insurers and title insurers;
(10) "RBC instructions", the RBC report, including risk-based capitalinstructions adopted by the NAIC, as such RBC instructions may be amended bythe NAIC from time to time in accordance with the procedures adopted by theNAIC;
(11) "RBC level", an insurer's company action level RBC, regulatoryaction level RBC, authorized control level RBC, or mandatory control level RBCwhere:
(a) "Company action level RBC" means, with respect to any insurer, theproduct of 2.0 and its authorized control level RBC;
(b) "Regulatory action level RBC" means the product of 1.5 and itsauthorized control level RBC;
(c) "Authorized control level RBC" means the number determined under therisk-based capital formula in accordance with the RBC instruction; and
(d) "Mandatory control level RBC" means the product of .70 and theauthorized control level RBC;
(12) "RBC plan", a comprehensive financial plan containing the elementsspecified in subsection 2 of section 375.1255. If the director rejects theRBC plan and it is revised by the insurer, with or without the director'srecommendation, the plan shall be called the "Revised RBC Plan";
(13) "RBC report", the report required in section 375.1252;
(14) "Total adjusted capital", the sum of:
(a) An insurer's statutory capital and surplus as determined inaccordance with the statutory accounting applicable to the annual financialreports required to be filed under section 376.350, RSMo, for domestic lifeand health insurers, section 379.105, RSMo, for domestic property and casualtyinsurers and section 375.891 for foreign insurers; and
(b) Such other items, if any, as the RBC instructions may provide.
(L. 1993 H.B. 709 § 1, A.L. 1996 S.B. 759)