NAC681B.500. Action on plan or revised plan for risk-based capital.

     1. Not later than 60 days after the date on which an insurer submits a plan for risk-based capital to the Commissioner pursuant to NAC 681B.495 or a revised plan for risk-based capital pursuant to this section, the Commissioner will notify the insurer as to whether the plan or revised plan for risk-based capital, as appropriate, may be carried out as proposed or whether the plan is unsatisfactory. If the Commissioner determines that the plan or revised plan for risk-based capital is unsatisfactory, the notification will set forth the reasons for that determination and may include proposed revisions which would make the plan or revised plan satisfactory.

     2. Upon receiving notification from the Commissioner that its plan or revised plan for risk-based capital is unsatisfactory, the insurer shall prepare a new revised plan, which may incorporate by reference any revision proposed by the Commissioner. The insurer shall submit the new revised plan to the Commissioner not later than 45 days after the date on which the insurer received the notification, except that if, pursuant to NAC 681B.580, the insurer challenges the determination by the Commissioner that the plan is unsatisfactory, the insurer shall submit the new revised plan to the Commissioner not later than 45 days after the date on which the insurer is notified that the Commissioner has, after a hearing, rejected the challenge of the insurer.

     3. Subject to the right of the insurer to a hearing pursuant to NAC 681B.580, the Commissioner will, if he or she deems it to be necessary, specify in the notification to an insurer that the plan or revised plan for risk-based capital is unsatisfactory and that the notification constitutes an event which requires regulatory action.

     (Added to NAC by Comm’r of Insurance by R088-97, eff. 3-19-98)