Code of Massachusetts Regulations
211 CMR - DIVISION OF INSURANCE
Title 211 CMR 25.00 - Risk-based Capital (rbc) For Health Organizations
Section 25.05 - Authorized Control Level Event

(a) The filing of an RBC Report by the Health Organization which indicates that the Health Organization's total adjusted capital is greater than or equal to its Mandatory Control Level RBC but less than its Authorized Control Level RBC;

(b) The notification by the Commissioner to the Health Organization of an Adjusted RBC Report that indicates the event in 211 CMR 25.05(1)(a), provided the Health Organization does not challenge the Adjusted RBC Report under 211 CMR 25.07;

(c) If, pursuant to 211 CMR 25.07, the Health Organization challenges an Adjusted RBC Report that indicates the event in 211 CMR 25.05(1)(a), notification by the Commissioner to the Health Organization that the Commissioner has, after a hearing, rejected the Health Organization's challenge;

(d) The failure of the Health Organization to respond, in a manner satisfactory to the Commissioner, to a Corrective Order (provided the Health Organization has not challenged the Corrective Order under 211 CMR 25.07); or

(e) If the Health Organization has challenged a Corrective Order under 211 CMR 25.07, and the Commissioner has, after a hearing, rejected the challenge or modified the Corrective Order, the failure of the Health Organization to respond, in a manner satisfactory to the Commissioner, to the Corrective Order subsequent to rejection or modification by the Commissioner.

(a) Take such actions as are required under 211 CMR 25.04 regarding a Health Organization with respect to which an Regulatory Action Level Event has occurred; or

(b) If the Commissioner deems it to be in the best interests of the policyholders and creditors of the Health Organization and of the public, take such actions as are necessary to cause the Health Organization to be placed under regulatory control under M.G.L. c. 176A, §§ 23, 33; c. 176B, §§ 13, 17, 21; c. 176E, §§ 13, 16; c. 176F, § 13; and c. 176G, §§ 20 and 20A. 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 M.G.L. c. 176A, §§ 23, 33; c. 176B, §§ 13, 17, 21; c. 176E, §§ 13, 16; c. 176F, § 13; and c. 176G, §§ 20 and 20A, and the Commissioner shall have the rights, powers and duties with respect to the Health Organization as are set forth in M.G.L. c. 176A, §§ 23, 33; c. 176B, §§ 13, 17, 21; c. 176E, §§ 13, 16; c. 176F, § 13; and c. 176G, §§ 20 and 20A. In the event the Commissioner takes actions under 211 CMR 25.05(2)(b) pursuant to an Adjusted RBC `Report, the Health Organization shall be entitled to such protections as are afforded to Health Organizations under the provisions of M.G.L. c. 176A, §§ 23, 33; M.G.L. c. 176B, §§ 13, 17, 21; c. 176E, §§ 13, 16; c. 176F, § 13; and c. 176G, §§ 20 and 20A, pertaining to summary proceedings.