2009 Iowa Code
Title 13 - Commerce
Subtitle 1 - Insurance and Related Regulation
CHAPTER 521F - RISK=BASED CAPITAL REQUIREMENTS FOR HEALTH ORGANIZATIONS
521F.5 - REGULATORY-ACTION-LEVEL EVENT.

        521F.5  REGULATORY-ACTION-LEVEL EVENT.
         1.  "Regulatory-action-level event" means any of the
      following:
         a.  The filing of a risk-based capital report by the health
      organization that indicates that the health organization's total
      adjusted capital is greater than or equal to its
      authorized-control-level risk-based capital but less than its
      regulatory-action-level risk-based capital.
         b.  Notification by the commissioner to a health organization
      of an adjusted risk-based capital report that indicates the event in
      paragraph "a", provided the health organization does not
      challenge the adjusted risk-based capital report and request a
      hearing pursuant to section 521F.8.
         c.  After a hearing pursuant to section 521F.8, notification
      by the commissioner to the health organization that the commissioner
      has rejected the health organization's challenge of the adjusted
      risk-based capital report indicating the event in paragraph "a".

         d.  Failure of the health organization to file a risk-based
      capital report by the filing date, unless the health organization has
      provided an explanation for the failure which is satisfactory to the
      commissioner and has cured the failure within ten days after the
      filing date.
         e.  Failure of the health organization to submit a risk-based
      capital plan to the commissioner within the time period set forth in
      section 521F.4, subsection 3.
         f.  Notification by the commissioner to the health
      organization of both of the following:
         (1)  The risk-based capital plan or revised risk-based capital
      plan filed by the health organization, in the judgment of the
      commissioner, is unsatisfactory.
         (2)  Notification pursuant to this paragraph constitutes a
      regulatory-action-level event with respect to the health
      organization, provided the health organization has not challenged the
      determination pursuant to section 521F.8.
         g.  After a hearing pursuant to section 521F.8, notification
      by the commissioner to the health organization that the commissioner
      has rejected the health organization's challenge of the determination
      made by the commissioner pursuant to paragraph "f".
         h.  Notification by the commissioner to the health
      organization that the health organization has failed to adhere to its
      risk-based capital plan or revised risk-based capital plan, but only
      if the failure has a substantial adverse effect on the ability of the
      health organization to eliminate the company-action-level event
      pursuant to the health organization's risk-based capital plan or
      revised risk-based capital plan and the commissioner has so stated in
      the notification.  However, notification by the commissioner pursuant
      to this paragraph does not constitute a company-action-level event if
      the health organization has challenged the determination of the
      commissioner pursuant to section 521F.8.
         i.  After a hearing pursuant to section 521F.8, notification
      by the commissioner to the health organization that the commissioner
      rejected the health organization's challenge of the commissioner's
      determination pursuant to paragraph "h".
         2.  Upon the occurrence of a regulatory-action-level event, the
      commissioner shall do all of the following:
         a.  Require the health organization to prepare and submit a
      risk-based capital plan or revised risk-based capital plan, as
      applicable.
         b.  Perform an examination or analysis of the assets,
      liabilities, and operations of the health organization, including a
      review of its risk-based capital plan or revised risk-based capital
      plan.
         c.  Subsequent to the examination or analysis pursuant to
      paragraph "b", issue a corrective order.
         3.  The commissioner, in determining the corrective actions to be
      ordered, may take into account factors the commissioner deems
      relevant with respect to the health organization based upon the
      commissioner's examination or analysis of the assets, liabilities,
      and operations of the health organization, including, but not limited
      to, the results of any sensitivity tests undertaken pursuant to the
      risk-based capital instructions.  The risk-based capital plan or
      revised risk-based capital plan shall be submitted within forty-five
      days after the occurrence of the regulatory-action-level event,
      except as follows:
         a.  If the health organization challenges a risk-based capital
      report pursuant to section 521F.8, and in the judgment of the
      commissioner the challenge is not frivolous, within forty-five days
      after the notification to the health organization that the
      commissioner, after a hearing pursuant to section 521F.8, has
      rejected the health organization's challenge.
         b.  If the health organization challenges a revised risk-based
      capital plan pursuant to section 521F.8, and in the judgment of the
      commissioner the challenge is not frivolous, within forty-five days
      after the notification to the health organization that the
      commissioner, after a hearing pursuant to section 521F.8, has
      rejected the health organization's challenge.
         4.  The commissioner may retain actuaries, investment experts, and
      other consultants as deemed necessary by the commissioner to review
      the health organization's risk-based capital plan or revised
      risk-based capital plan; examine or analyze the assets, liabilities,
      and operations of the health organization; and assist in the
      formulation of the corrective order with respect to the health
      organization.  Fees of the actuaries, investment experts, or other
      consultants retained by the commissioner shall be paid by the health
      organization subject to the review or examination.  

         2000 Acts, ch 1050, §5
         Referred to in § 521F.6