Bill Text: NH HB401 | 2013 | Regular Session | Chaptered

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Bill Title: Relative to property and casualty insurers under the risk-based capital law.

Spectrum: Bipartisan Bill

Status: (Passed) 2013-06-25 - Signed By Governor 06/25/2013; Effective 08/24/2013; Chapter 0110 [HB401 Detail]

Download: New_Hampshire-2013-HB401-Chaptered.html

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CHAPTER 110

HB 401 – FINAL VERSION

2013 SESSION

13-0347

01/04

HOUSE BILL 401

AN ACT relative to property and casualty insurers under the risk-based capital law.

SPONSORS: Rep. Schlachman, Rock 18; Rep. Butler, Carr 7; Rep. John Hunt, Ches 11; Rep. Flanders, Belk 3

COMMITTEE: Commerce and Consumer Affairs

ANALYSIS

This bill clarifies the risk-based capital law as it applies to property and casualty insurers.

This bill is a request of the insurance department.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

13-0347

01/04

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Thirteen

AN ACT relative to property and casualty insurers under the risk-based capital law.

Be it Enacted by the Senate and House of Representatives in General Court convened:

110:1 Insurance; Risk-Based Capital for Insurers. Amend RSA 404-F:3, I(a)(1) and (2) to read as follows:

(1) The insurer’s total adjusted capital is greater than or equal to its regulatory action level RBC but less than its company action level RBC; [or]

(2) If a life and/or health insurer, the insurer has total adjusted capital which is greater than or equal to its company action level RBC but less than the product of its authorized control level RBC and 2.5 and has a negative trend; or

(3) If a property and casualty insurer, the insurer has total adjusted capital which is greater than or equal to its company action level RBC but less than the product of its authorized control level RBC and 3.0 and triggers the trend test determined in accordance with the trend test calculation included in the property and casualty RBC instructions;

110:2 Effective Date. This act shall take effect 60 days after its passage.

Approved: June 25, 2013

Effective Date: August 24, 2013