Oklahoma § 36-1526 - Authorized Control Level Event

§ 36-1526. Authorized Control Level Event

A. "Authorized Control Level Event" means any of the following

events:

1. The filing of an RBC Report by the insurer which indicates

that the insurer's Total Adjusted Capital is greater than or equal

to its Mandatory Control Level RBC but less than its Authorized

Control Level RBC;

2. The notification by the Insurance Commissioner to the

insurer of an Adjusted RBC Report that indicates the event in

paragraph 1 of this subsection, provided the insurer does not

challenge the Adjusted RBC Report under Section 9 of this act;

3. If, pursuant to Section 9 of this act, the insurer

challenges an Adjusted RBC Report that indicates the event in

paragraph 1 of this subsection, notification by the Commissioner to

the insurer that the Commissioner has, after opportunity for a

hearing, rejected the insurer's challenge;

4. The failure of the insurer to respond, in a manner

satisfactory to the Commissioner, to a corrective order, provided

the insurer has not challenged the corrective order under Section 9

of this act; or

5. If the insurer has challenged a corrective order under

Section 9 of this act and the Commissioner has, after opportunity

for a hearing, rejected the challenge or modified the corrective

order, the failure of the insurer to respond, in a manner

satisfactory to the Commissioner, to the corrective order subsequent

to rejection or modification by the Commissioner.

B. In the event of an Authorized Control Level Event with

respect to an insurer, the Commissioner may:

1. Take such actions as are required under Section 6 of this

act regarding an insurer with respect to which a Regulatory Action

Level Event has occurred; or

Oklahoma Statutes - Title 36. Insurance

2. If the Commissioner deems it to be in the best interests of

the policyholders and creditors of the insurer and of the public,

take such actions as are necessary to cause the insurer to be placed

under regulatory control under Article 18 or 19 of the Insurance

Code. In the event the Commissioner takes such actions, the

Authorized Control Level Event shall be deemed sufficient grounds

for the Commissioner to take action under Article 18 or 19 of the

Insurance Code, and the Commissioner shall have the rights, powers,

and duties with respect to the insurer as are set forth in Article

18 or 19 of the Insurance Code. In the event the Commissioner takes

actions under this paragraph pursuant to an Adjusted RBC Report, the

insurer shall be entitled to notice and opportunity for a hearing as

required by the provisions of Article 18 or 19 of the Insurance

Code.

Added by Laws 1997, c. 229, § 7, eff. July 1, 1997.