S.D. Admin. R. 20:06:36:01

Current through Register Vol. 51, page 71, January 6, 2025

Section 20:06:36:01 - Definitions

Terms used in this chapter mean:

(1) "Adjusted RBC report," a RBC report that has been adjusted by the director in accordance with § 20:06:36:06;

(2) "Corrective order," an order that has been issued by the director and which specifies the corrective actions;

(3) "Domestic insurer," any insurance company domiciled in this state or any entity required to comply with RBC pursuant to SDCL 58-4-48;

(4) "Domestic health organization," any health organization domiciled in this state;

(5) "Foreign insurer," any insurance company that is licensed to do business in this state but not domiciled in this state;

(6) "Foreign health organization," any health organization that is licensed to do business in this state but not domiciled in this state;

(7) "Health organization," any health maintenance organization, limited health service organization, dental or vision plan, hospital, medical and dental indemnity or service corporation, and other managed care organization licensed under SDCL title 58, except an organization that is:

(a) Licensed as a life or health insurer or property and casualty insurer; and

(b) Subject to either life or property and casualty RBC requirements;

(8) "NAIC," the National Association of Insurance Commissioners;

(9) "Life or health insurer," any:

(a) Insurance company licensed under SDCL title 58 to write life or health insurance; or

(b) Property and casualty insurer licensed to do business in this state writing only accident and health insurance;

(10) "Property and casualty insurer," any insurance company licensed under SDCL title 58 to do business in this state but not monoline mortgage guaranty insurers, financial guaranty insurers, or title insurers;

(11) "Negative trend," for a life or health insurer, a negative trend in the level of risk-based capital over a period of time;

(12) "RBC," risk-based capital;

(13) "RBC instructions," the 2023 NAIC RBC Forecasting and Instructions-Life/Fraternal, the 2023 NAIC RBC Forecasting and Instructions-Property/Casualty, and the 2023 NAIC RBC Forecasting and Instructions-Health;

(14) "RBC plan," a comprehensive financial plan containing the elements specified in § 20:06:36:08;

(15) "RBC report," the report required in §§ 20:06:36:03 to 20:06:36:06, inclusive;

(16) "Revised RBC plan," a RBC plan rejected by the director that is revised by the insurer or health organization, with or without the director's recommendation; and

(17) "Total adjusted capital," the sum of an insurer's or health organization's statutory capital and surplus as determined in accordance with the statutory accounting applicable to the annual financial statements required to be filed under SDCL 58-6-75, and any other items required by the RBC instructions.

S.D. Admin. R. 20:06:36:01

23 SDR 228, effective 7/3/1997; 25 SDR 13, effective 8/9/1998; 26 SDR 26, effective 9/1/1999; 27 SDR 54, effective 12/4/2000; 30 SDR 39, effective 9/28/2003; 31 SDR 21, effective 8/23/2004; 33 SDR 59, effective 10/5/2006; 34 SDR 271, effective 5/6/2008; 35 SDR 165, effective 12/22/2008; 36 SDR 209, effective 7/1/2010; 37 SDR 241, effective 7/1/2011; 38 SDR 219, effective 6/25/2012; 39 SDR 219, effective 6/26/2013; 41 SDR 41, effective 9/17/2014; 41 SDR 93, effective 12/3/2014; 42 SDR 52, effective 10/13/2015; 42 SDR 177, effective 6/28/2016; 43 SDR 181, effective 7/7/2017; 45 SDR 010, effective 8/1/2018; 46 SDR 026, effective 9/4/2019; 46 SDR 146, effective 7/2/2020; 47 SDR 137, effective 6/28/2021; 49 SDR 009, effective 8/9/2022; 50 SDR 013, effective 8/10/2023; 50 SDR 157, effective 7/1/2024

General Authority: SDCL 58-4-48.

Law Implemented: SDCL 58-4-48.

1. 2023 NAIC RBC Forecasting and Instructions-Life/Fraternal. Cost: $121. 2. 2023 NAIC RBC Forecasting and Instructions-Property/Casualty. Cost: $121. 3. 2023 NAIC RBC Forecasting and Instructions-Health. Cost: $121. Copies of references 1 through 3 may be obtained from the National Association of Insurance Commissioners, 1100 Walnut Street, Ste. 1500, Kansas City, MO 64106-2197, (816) 783-8300; http://www.naic.org.