Compare how regulators keep watch over insurer solvency, from risk-based capital and financial examinations to receivership and the NAIC's IRIS and ORSA tests.
Free CAS Exam 6-U.S. (Regulation and Financial Reporting) lesson in United States Laws and Regulations. 10 min read, ~1,462 words.
The RBC ratio is Total Adjusted Capital divided by Authorized Control Level RBC. Company Action Level: ratio below 200%, and the insurer files a corrective plan within 45 days. The trend test also pulls in ratios between 200% and 300% when the combined ratio tops 120%. Regulatory Action Level: below...
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What this lesson covers
- Content
- Example 1
- Example 2
- Common Mistakes
- Check Your Understanding
- Exam Shortcuts
Learning objectives
- A3
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