MS HB375

Extends Mississippi's risk-based capital (RBC) requirements to health organization insurers, including health maintenance organizations, dental and vision plans, and managed care organizations holding certificates of authority under Section 83-41-305.

Adds definitions for "domestic health organization insurer" and "foreign health organization insurer" to the state insurance code and requires health organization insurers to calculate RBC based on asset risk, credit risk, underwriting risk, and other business risks using the same formula structure as property and casualty insurers.

Requires health organization insurers to file RBC reports with the commissioner by March 1 each year and submit RBC plans if they trigger a "company action level event" based on specified capital thresholds and trend tests.

Allows the commissioner to exempt domestic health organization insurers meeting certain criteria from RBC requirements: those writing business only in Mississippi, with direct annual premiums of $2,000,000 or less for comprehensive medical business or covering fewer than 2,000 lives if a limited health service organization, and assuming no more than 5% reinsurance.

Effective date: July 1, 2014.