PURPOSE: This rule effectuates or aids in the interpretation of sections 375.560 and 375.881, RSMo, and in the administration of sections 354.080 and 354.355, RSMo.

Editor’s Note: The secretary of state has determined that the publication of this rule in its entirety would be unduly cumbersome or expensive. The entire text of the material referenced has been filed with the secretary of state. This material may be found at the Office of the Secretary of State or at the headquarters of the agency and is available to any interested person at a cost established by state law.

1. (1) Determinations of whether the capital stock or guarantee fund of an insurance company is impaired under section 375.560.1(1), RSMo, whether an insurance company is insolvent under section 375.560.1(2) or 375.881.1(1), RSMo, whether an insurance company is in a financial condition that its further transaction of business would be hazardous under section 375.560.1(5) or 375.881.1(3), RSMo and whether an insurance company fails to comply with the requirements for admission under section 375.881.1(2), RSMo shall be made according to the applicable accounting standards, principles approved by the National Association of Insurance Commissioners (NAIC), or both, published in the Accounting Practices and Procedures Manual for Fire and Casualty Insurance Companies, Accounting Practices and Procedures Manual for Life and Accident and Health Insurance Companies, Annual Statement Instructions, Valuation of Securities and Examiner’s Handbook, except where the applicable provisions of Chapters 374–385, RSMo or other specific rules expressly provide otherwise.
2. (2) Determinations of whether a health services corporation is maintaining the reserves required by section 354.080, RSMo and whether a health services corporation is in a condition that its further transaction of business will be hazardous under section 354.355(3), RSMo shall be made according to the applicable accounting standards or principles approved by the NAIC, or both, as published in the Accounting Practices and Procedures Manual for Life and Accident and Health Insurance Companies, Annual Statement Instructions, Valuation of Securities and Examiner’s Handbook, except where the applicable provisions of sections 354.010–354.380, RSMo or other specific rules expressly provide otherwise.

AUTHORITY: sections 354.120 and 374.045, RSMo Supp. 1993 and 354.485, RSMo 1986.* This rule was previously filed as 4 CSR 190-11.230. Original rule filed Feb. 3, 1989, effective May 1, 1989. Amended: Filed Aug. 25, 1989, effective Jan. 1, 1990. *Original authority: 374.120, RSMo 1973, amended 1983, 1993; 354.485, RSMo 1983; and 374.045, RSMo 1967, amended 1993.