Or. Admin. Code § 836-011-0305 - Definitions

As used in OAR 836-011-0300 to 836-011-0390:

(1) "Adjusted RBC report" means a risk-based capital (RBC) report that has been adjusted by the director in accordance with OAR 836-011-0310(5).

(2) "Corrective order" means an order issued by the director specifying corrective actions that the director has determined are required.

(3) "NAIC" means the National Association of Insurance Commissioners.

(4) "Life or health insurer" means an insurer transacting life insurance or health insurance or both or an insurer authorized to transact property and casualty insurance but writing only health insurance.

(5) "Property and casualty insurer" means an insurer transacting property and casualty insurance, or either, but does not include an insurer transacting only monoline mortgage guaranty insurance, financial guaranty insurance or title insurance, or an insurer authorized to transact property and casualty insurance but writing only health insurance.

(6) "Negative trend" means, with respect to a life or health insurer, negative trend over a period of time, as determined in accordance with the "trend test calculation" included in the RBC instructions.

(7) "RBC instructions" means the RBC report, including risk-based capital instructions adopted by the NAIC, as such RBC instructions may be amended by the NAIC from time to time in accordance with the procedures adopted by the NAIC and identified by the Department of Consumer and Business Services to be applicable to the RBC report period. RBC instructions may be obtained by contacting the Division of Financial Regulation of the Department of Consumer and Business Services using the contact information provided on the Division of Financial Regulation website at dfr.oregon.gov.

(8) "RBC level" means an insurer's company action level RBC, regulatory action level RBC, authorized control level RBC, or mandatory control level RBC, defined as follows:

(a) "Company action level RBC" means, with respect to any insurer, the product of 2.0 and its authorized control level RBC;

(b) "Regulatory action level RBC" means the product of 1.5 and its authorized control level RBC;

(c) "Authorized control level RBC" means the number determined under the risk-based capital formula in accordance with the RBC instructions; and

(d) "Mandatory control level RBC" means the product of .70 and the authorized control level RBC.

(9) "RBC plan" means a comprehensive financial plan containing the elements specified in OAR 836-011-0320(2). If the director rejects the RBC plan and it is revised by the insurer with or without the director's recommendation, the plan shall be called the "revised RBC plan."

(10) "RBC report" means the report required in OAR 836-011-0310.

(11) "Total adjusted capital" means the sum of:

(a) An insurer's statutory capital and surplus as determined in accordance with the statutory accounting applicable to the annual financial statements required to be filed under ORS 731.574; and

(b) Such other items, if any, as the RBC instructions may provide.

Notes

Or. Admin. Code § 836-011-0305

ID 7-1995, f. & cert. ef. 11-15-95; ID 14-2011, f. & cert. ef. 10-31-11; ID 6-2023, minor correction filed 05/19/2023, effective 5/19/2023

Statutory/Other Authority: ORS 731.244, ORS 733.210 & ORS 731.554

Statutes/Other Implemented: ORS 731.554 & 731.574