HB567 Summary

• Amends Sections 27-2B-2, 27-2B-3, and 27-2B-4 of the Alabama Code to extend risk-based capital (RBC) requirements to property and casualty insurers, previously applied only to life and health insurers.

• Subjects property and casualty insurers to a "company action level event" when their total adjusted capital falls between their company action level RBC and the product of their authorized control level RBC and 3.0, and they trigger the trend test calculation from RBC instructions.

• Corrects a citation error changing "subsection (c)" to "subsection (e)" in the definition of "Adjusted RBC Report" in Section 27-2B-2.

• Requires insurers experiencing a company action level event to prepare and submit an RBC plan within 45 days identifying conditions contributing to the event and proposing corrective actions.

• Becomes effective immediately upon passage and approval by the Governor.