DE HB305

Amends Title 18 of the Delaware Code to increase the risk-based capital (RBC) trend testing threshold from 2.5 to 3.0 for life insurers, health insurers, and fraternal benefit societies.

Applies the higher 3.0 RBC standard when an insurer's total adjusted capital is greater than or equal to its Company Action Level RBC but less than the product of its Authorized Control Level RBC multiplied by 3.0 and has a negative trend.

Expands the definition of "Company Action Level Event" to explicitly include fraternal benefit societies alongside life and health insurers for RBC compliance purposes.

Aligns Delaware's RBC requirements with the NAIC Risk-Based Capital For Insurers Model Act and serves as an accreditation requirement effective January 1, 2017.

Takes effect immediately upon enactment.