Indiana Code 27-1-36-42. Action by commissioner after mandatory control level event with respect to life or health insurer or fraternal benefit society

Sec. 42. (a) If a mandatory control level event occurs with respect to a life insurer, a health insurer, or a fraternal benefit society, the commissioner shall take the actions necessary to place the insurer under regulatory control under IC 27-9.

Ask an insurance law question, get an answer ASAP!
Click here to chat with a lawyer about your rights.

Terms Used In Indiana Code 27-1-36-42

adjusted RBC report: means an RBC report that has been adjusted by the commissioner under section 28 of this chapter. See Indiana Code 27-1-36-2
Commissioner: means the "insurance commissioner" of this state. See Indiana Code 27-1-2-3
fraternal benefit society: refers to a society (as defined in IC 27-11-1-11) that holds a certificate of authority issued under IC 27-11-4 or IC 27-11-8-5. See Indiana Code 27-1-36-9.2
health insurer: means the following:
Indiana Code 27-1-36-9.3
insurer: includes :
Indiana Code 27-1-36-9.6
life insurer: means an insurer that makes one (1) or more of the types of insurance described in Class 1 of IC 27-1-5-1. See Indiana Code 27-1-36-10
mandatory control level event: has the meaning set forth in section 41 of this chapter. See Indiana Code 27-1-36-11
RBC: refers to risk based capital. See Indiana Code 27-1-36-16

(b) A mandatory control level event is sufficient grounds for the commissioner to take action against a life insurer, a health insurer, or a fraternal benefit society under IC 27-9, and the commissioner has the rights, powers, and duties with respect to the insurer that are set forth in IC 27-9.

(c) If the commissioner takes action against a life insurer, a health insurer, or a fraternal benefit society under an adjusted RBC report, the insurer is entitled to the protections of IC 27-9-2 pertaining to summary proceedings.

(d) The commissioner may forego action under subsections (a) through (c) for not more than ninety (90) days after the mandatory control level event if the commissioner finds there is a reasonable expectation that the mandatory control level event may be eliminated within the ninety (90) day period.

As added by P.L.186-1996, SEC.1. Amended by P.L.276-2013, SEC.27.

Previous section

Next section

Chapter 36 Contents