As used in this part, unless the context otherwise requires:(1) 'Adjusted RBC Report' means an RBC report that has been adjusted by the commissioner in accordance with § 56-46-103(e);(2) 'Corrective order' means an order issued by the commissioner specifying corrective actions that the commissioner has determined are required;(3) 'Domestic insurer' means any insurance company domiciled in Tennessee;(4) 'Foreign insurer' means any insurance company that is licensed to do business in Tennessee under this title but is not domiciled in Tennessee;(5) 'Life and/or health insurer' means any insurance company licensed for those lines in Tennessee, or a property and casualty insurer writing only accident and health insurance;(6) 'NAIC' means the National Association of Insurance Commissioners;(7) 'Negative trend' means, with respect to a life and/or health insurer, negative trend over a period of time, as determined in accordance with the 'Trend Test Calculation' included in the RBC Instructions;(8) 'Property and casualty insurer' means any insurance company licensed in those lines in Tennessee, but does not include monoline mortgage guaranty insurers, financial guaranty insurers and title s;(8) 'Property and casualty insurer' means any insurance company licensed in those lines in Tennessee, but does not include monoline mortgage guaranty insurers, financial guaranty insurers and title insurers;(9) 'RBC Instructions' means the RBC Report including risk-based capital instructions adopted by the NAIC, as the RBC Instructions may be amended by the NAIC from time to time in accordance with the procedures adopted by the NAIC;(10) 'RBC Level' means an insurer's Company Action Level RBC, Regulatory Action Level RBC, Authorized Control Level RBC, or Mandatory Control Level RBC where:(A) 'Authorized Control Level RBC' means the number determined under the risk-based capital formula in accordance with the RBC Instructions;(B) 'Company Action Level RBC' means, with respect to any insurer, the product of 2.0 and its Authorized Control Level RBC;(C) 'Mandatory Control Level RBC' means the product of 0.70 and the authorized Control Level RBC; and(D) 'Regulatory Action Level RBC' means the product of 1.5 and its authorized Control Level RBC;(11) 'RBC Plan' means a comprehensive financial plan containing the elements specified in § 56-46-104(b). ) 'Regulatory Action Level RBC' means the product of 1.5 and its authorized Control Level RBC;(11) 'RBC Plan' means a comprehensive financial plan containing the elements specified in § 56-46-104(b). If the commissioner rejects the RBC Plan, and it is revised by the insurer, with or without the commissioner's recommendation, the plan shall be called the 'Revised RBC Plan';(12) 'RBC Report' means the report required in § 56-46-103; and(13) '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 pursuant to § 56-1-501; and(B) The other items, if any, that the RBC Instructions may provide.Amended by 2014 Tenn. Acts, ch. 559,Secs.s1, s2 eff. 3/21/2014.Acts 1996, ch. 750, § 3.
Tennessee Legal Code