Missouri Code of State Regulations
Title 20 - DEPARTMENT OF COMMERCE AND INSURANCE
Division 200 - Insurance Solvency and Company Regulation
Chapter 12 - Missouri and Extended Missouri Mutual Companies
Section 20 CSR 200-12.030 - Extended Missouri and Missouri Mutual Companies' Financial Reinsurance Requirements
Current through Register Vol. 49, No. 6, March 15, 2024
PURPOSE: This amendment updates the language of the rule.
PURPOSE: This rule effectuates and aids in the interpretation of sections 380.021.2. and 380.271, RSMo, relating to the financial reinsurance requirements applicable to extended Missouri mutual companies organized under the provisions of sections 380.201- 380.591, RSMo, and to Missouri mutual companies organized under the provisions of sections 380.011-380.151, RSMo.
(1) The director deems that to protect the policyholders of extended Missouri mutual companies and Missouri mutual companies, such companies shall acquire annual aggregate reinsurance to cover one hundred percent (100%) of losses in excess of the attachment point, with an attachment point calculated annually in accordance with the Extended Missouri and Missouri Mutual Exposure Calculation form, which is included herein, so as to prevent an annual loss from coverages written of not greater than twenty percent (20%) of the company's surplus as of the immediately preceding December 31. The director may require additional reinsurance if necessary to protect the policyholders of any such company.
(2) Surplus, as used in section (1) of this rule, means admitted assets minus liabilities in the amounts reported in the company's annual statement filed with the director each year.
(3) The director may-
*Original authority: 374.045, RSMo 1967, amended 1993, 1995, 2008; 380.021, RSMo 1984; 380.271, RSMo 1984, amended 1991; and 380.561, RSMo 1984, amended 1993, 1995.