Legislative Session number- 83

Bill Name: SF2587

E Relating to insurance ARTICLE 1 � RISK BASED CAPITAL FOR HEALTH
ORGANIZATIONSEstablishing risk based capital requirements for health
+organizations; defining certain terms; requiring and providing for domestic
health +organizations to annually prepare and submit to the commissioner of
commerce, the +national association of insurance commissioners (NAIC) and
insurance +commissioners of other states of organization business upon request
RBC reports, +providing for determination of the RBC levels and providing for
commissioner +adjustment of the reports for inaccuracies correction purposes;
requiring and +providing for health organizations preparation and submission to
the commissioner +of RBC plans following a company action level event and
providing for +implementation, requiring additional filing under certain
conditions; specifying +certain duties of the commissioner following regulatory
action or authorized or +mandatory control level events; granting health
organizations the right to +confidential departmental hearings to challenge
determinations or actions by the commissioner; providing for access to and use
of RBC information; +providing for the supplemental effect of the provisions and
authorizing +commissioner exemptions; providing for RBC reports or plans of
foreign health +organizations, authorizing liquidation of property under certain
conditions; +providing immunity from liability for the commissioner and
department employees+ or agents for actions taken in the performance of duties;
providing for the +effect of notices by the commissioner to health organizations
resulting in +regulatory action ARTICLE 2 � MINIMUM STANDARD OF VALUATION FOR
HEALTH INSURANCEEstablishing the minimum standard of valuation for health
insurance, +specifying the purpose and scope and defining certain terms;
specifying the +categories of reserves, requiring claim, unearned premium and
contract reserves and specifying the minimum standards; providing for the
determination of +increases to or credits against reserves carried resulting
from reinsurance +assumed or ceded; enumerating specific standards for
morbidity, interest and +mortality, prescribing a table for duration, adjustment
factor and adjusted +termination rates for morbidity claim reserves ARTICLE 3
� MISCELLANEOUSModifying certain loss reserve certification requirements and
+restrictions ARTICLE 4 � SECURITIES REGULATION TECHNICAL CHANGESClarifying
and expanding the authority of the commissioner of +commerce to disclose certain
information and data to federally registered +national securities associations
for investigation purposes (mk, ja)