North Dakota Code 26.1-03.1-01 – Definitions
As used in this chapter:
Terms Used In North Dakota Code 26.1-03.1-01
- Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
- Property: includes property, real and personal. See North Dakota Code 1-01-49
- State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See North Dakota Code 1-01-49
1. “Adjusted risk-based capital report” means a risk-based capital report that has been adjusted by the commissioner in accordance with subsection 5 of section 26.1-03.1-02.
2. “Corrective order” means an order issued by the commissioner specifying corrective actions that the commissioner has determined are required.
3. “Domestic insurer” means any insurer domiciled in this state, except a county mutual insurance company.
4. “Foreign insurer” means any insurer that is licensed to do business in this state under chapter 26.1-11 but is not domiciled in this state.
5. “Fraternal benefit society” means any insurer licensed under chapter 26.1-15.1.
6. “Life or health insurer” means any licensed life or health insurer or a licensed property and casualty insurer writing only accident and health insurance.
7. “Negative trend” means, with respect to a life or health insurer or a fraternal benefit society, negative trend over a period of time, as determined in accordance with the trend test calculation included in the life or fraternal risk-based capital instructions.
8. “Property and casualty insurer” means any insurer licensed under chapter 26.1-05 or 26.1-11 but does not include monoline mortgage guaranty insurers, financial guaranty insurers, and title insurers.
9. “Risk-based capital instructions” means the risk-based capital report, including risk-based capital instructions adopted by the national association of insurance commissioners, as such risk-based capital instructions may be amended by the national association of insurance commissioners from time to time in accordance with the procedures adopted by the national association of insurance commissioners.
10. “Risk-based capital level” means an insurer’s company action level risk-based capital, regulatory action level risk-based capital, authorized control level risk-based capital, or mandatory control level risk-based capital where:
a. “Authorized control level risk-based capital” means the number determined under the risk-based capital formula in accordance with the risk-based capital instructions.
b. “Company action level risk-based capital” means, with respect to any insurer, the product of two and its authorized control level risk-based capital.
c. “Mandatory control level risk-based capital” means the product of seventy hundredths and the authorized control level risk-based capital.
d. “Regulatory action level risk-based capital” means the product of one and one-half and its authorized control level risk-based capital.
11. “Risk-based capital plan” means a comprehensive financial plan containing the elements specified in subsection 2 of section 26.1-03.1-03. If the commissioner rejects the risk-based capital plan, and it is revised by the insurer, with or without the commissioner’s recommendation, the plan must be called the “revised risk-based capital plan”.
12. “Risk-based capital report” means the report required in section 26.1-03.1-02.
13. “Total adjusted capital” means the sum of:
a. An insurer’s statutory capital and surplus as determined in accordance with statutory accounting applicable to the annual financial statements required to be filed under section 26.1-03-07; and
b. Such other items, if any, as the risk-based capital instructions may provide.