Risk-Based Capital Investment Risk and Evaluation (E) Working Group

2025 Charges

The Risk-Based Capital Investment Risk and Evaluation (E) Working Group will:
1. Perform a comprehensive review of the RBC investment framework for all business types, which could include:
  1. Identifying and acknowledging uses that extend beyond the purpose of the Risk-Based Capital (RBC) for Insurers Model Act (#312).
  2. Assessing the impact and effectiveness of potential changes in contributing to the identification of weakly capitalized companies; i.e., those companies at action levels.
  3. Documenting the modifications made over time to the formulas, including, but not limited to, an analysis of the costs in study and development, implementation (internal and external), assimilation, verification, analysis, and review of the desired change to the RBC formulas and facilitating the appropriate allocation of resources.

Calendar

Public Webex Meeting
Tuesday, February 11, 2025
11:00 AM ET, 10:00 AM CT, 9:00 AM MT, 8:00 AM PT
Expected Length of Call: 1 hr
Webex Link

The purpose of the call is to receive an update from the Academy on structured assets RBC project.

See all Current Exposure Drafts

The Risk-Based Capital Investment Risk and Evaluation (E) Working Group has exposed the following item with a 21-day public comment period. Please submit comments to NAIC staff, Dave Fleming, by COB Thursday, June 13, 2024.

Included for reference is the presentation from the NAIC’s Structured Securities Group. The Working Group is specifically requesting comment on which items should be included in the proposal’s Exempted Residual Tranches and Interests list which would receive a 30% factor with all other residual tranches and interests receiving a 45% factor.

The Working Group has exposed the following for public comment. Please submit comments to Dave Fleming by COB May 15, 2024.

Memorandum on Consideration of Additional Information on Interim Factor for Residual Tranches

The Working Group has exposed the following for public comment. Please submit comments to Dave Fleming by COB April 8, 2024.

Oliver Wyman Residual Tranche Report

The Working Group has exposed the following for public comment. Please submit comments to Dave Fleming by COB May 12, 2023.

The referral below requires a response from the Capital Adequacy (E) Task Force and the Risk-based Capital Investment Risk and Evaluation (E) Working Group by May 15, 2023. Please submit your comments to Eva Yeung or Dave Fleming by COB March 31, 2023.

Additional Market and Analytical Information for Bond Investments

The Working Group has exposed the following for public comment. Comment is specifically requested from RBC vendors with respect to the proposed sensitivity test as it was submitted past the RBC deadline for exposure. Please submit comments to Dave Fleming by COB April 12, 2023.

Related NAIC Publications

Committee and task force minutes PDF files will be posted to the Interactive Agenda approximately 10 business days after the conclusion of a national meeting. They are posted to the Interactive Agenda for each meeting tab on the Meetings page. The Proceedings of the NAIC are made available after the minutes are adopted at each subsequent meeting and may be accessed via the NAIC Publications page.

Contacts

Media Inquiries
(816) 783-8909
news@naic.org

Julie Gann
Assistant Director, Solvency Policy
816-783-8966

Maggie Chang
Manager II, Solvency Policy
816-783-8976

Charles Therriault
Director, Securities Valuation Office
212-386-1920

Linda Phelps
Manager II, Securities Valuation Office
212-386-1921

Peter Kelly
Manager II-Securities Valuation Office
212-386-1953

Please see the current Committee List for a complete list of committee members.

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