{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-5502.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-5502.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-5502.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-5502.html"}],"law_id":68713,"edition_id":1,"section_id":68713,"structure_id":14894,"section_number":"38.2-5502","catch_line":"RBC Reports","history":"1995, c. 789; 2000, c. 47.","full_text":"A\n\nEvery domestic licensee shall, on or prior to each March 1, the “filing date,” prepare and submit to the Commission a report of its RBC Levels as of the end of the calendar year just ended, in a form and containing such information as is required by the RBC Instructions. In addition, every domestic licensee shall file its RBC Report:1\n\nWith the NAIC in accordance with the RBC Instructions; and2\n\nWith the insurance commissioner in any state in which the licensee is authorized to do business, if the insurance commissioner has notified the licensee of its request in writing, in which case, the licensee shall file its RBC Report not later than the later of:\n\t\t\t\ta. Fifteen days from the receipt of notice to file its RBC Report with that state; or\n\t\t\t\tb. The filing date.B\n\nA life and health insurer’s RBC shall be determined in accordance with the formula set forth in the RBC Instructions. The formula shall take into account, and may adjust for the covariance between, the following risks:1\n\nThe risk with respect to the insurer’s assets;2\n\nThe risk of adverse insurance experience with respect to the insurer’s liabilities and obligations;3\n\nThe interest rate risk with respect to the insurer’s business; and4\n\nAll other business risks and such other relevant risks as are set forth in the RBC Instructions.\n\t\t\t\tEach risk shall be determined in each case by applying the factors in the manner set forth in the RBC Instructions.C\n\nA property and casualty insurer’s RBC shall be determined in accordance with the formula set forth in the RBC Instructions. The formula shall take into account, and may adjust for the covariance between, the following risks:1\n\nAsset risk;2\n\nCredit risk;3\n\nUnderwriting risk; and4\n\nAll other business risks and such other relevant risks as are set forth in the RBC Instructions.\n\t\t\t\tEach risk shall be determined in each case by applying the factors in the manner set forth in the RBC Instructions.D\n\nA health organization’s RBC shall be determined in accordance with the formula set forth in the RBC Instructions. The formula shall take into account, and may adjust for the covariance between, the following risks:1\n\nAsset risk;2\n\nCredit risk;3\n\nUnderwriting risk; and4\n\nAll other business risks and such other relevant risks as are set forth in the RBC Instructions.\n\t\t\t\tEach risk shall be determined in each case by applying the factors in the manner set forth in the RBC Instructions.E\n\nAn excess of capital over the amount produced by the risk-based capital requirements contained in this Act and the formulas, schedules and instructions referred to in this Act is desirable in the business of insurance. Accordingly, licensees should seek to maintain capital above the RBC levels required by this Act. Additional capital is used and useful in the insurance business and helps to secure a licensee against various risks inherent in, or affecting, the business of insurance and not accounted for or only partially measured by the risk-based capital requirements contained in this Act.F\n\nIf a domestic licensee files an RBC Report which in the judgment of the Commission is inaccurate, then the Commission shall adjust the RBC Report to correct the inaccuracy and shall notify the licensee of the adjustment. The notice shall contain a statement of the reason for the adjustment. An RBC Report as so adjusted is referred to as an “Adjusted RBC Report.”","order_by":null,"text":{"0":{"id":248740,"text":"Every domestic licensee shall, on or prior to each March 1, the “filing date,” prepare and submit to the Commission a report of its RBC Levels as of the end of the calendar year just ended, in a form and containing such information as is required by the RBC Instructions. In addition, every domestic licensee shall file its RBC Report:","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"A1"},"1":{"id":248741,"text":"With the NAIC in accordance with the RBC Instructions; and","type":"section","prefixes":["A","1"],"prefix":"1","entire_prefix":"A1","prefix_anchor":"A1","level":2,"prior_prefix":"A","next_prefix":"A2"},"2":{"id":248742,"text":"With the insurance commissioner in any state in which the licensee is authorized to do business, if the insurance commissioner has notified the licensee of its request in writing, in which case, the licensee shall file its RBC Report not later than the later of:\n\t\t\t\ta. Fifteen days from the receipt of notice to file its RBC Report with that state; or\n\t\t\t\tb. The filing date.","type":"section","prefixes":["A","2"],"prefix":"2","entire_prefix":"A2","prefix_anchor":"A2","level":2,"prior_prefix":"A1","next_prefix":"B"},"3":{"id":248743,"text":"A life and health insurer’s RBC shall be determined in accordance with the formula set forth in the RBC Instructions. The formula shall take into account, and may adjust for the covariance between, the following risks:","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A2","next_prefix":"B1"},"4":{"id":248744,"text":"The risk with respect to the insurer’s assets;","type":"section","prefixes":["B","1"],"prefix":"1","entire_prefix":"B1","prefix_anchor":"B1","level":2,"prior_prefix":"B","next_prefix":"B2"},"5":{"id":248745,"text":"The risk of adverse insurance experience with respect to the insurer’s liabilities and obligations;","type":"section","prefixes":["B","2"],"prefix":"2","entire_prefix":"B2","prefix_anchor":"B2","level":2,"prior_prefix":"B1","next_prefix":"B3"},"6":{"id":248746,"text":"The interest rate risk with respect to the insurer’s business; and","type":"section","prefixes":["B","3"],"prefix":"3","entire_prefix":"B3","prefix_anchor":"B3","level":2,"prior_prefix":"B2","next_prefix":"B4"},"7":{"id":248747,"text":"All other business risks and such other relevant risks as are set forth in the RBC Instructions.\n\t\t\t\tEach risk shall be determined in each case by applying the factors in the manner set forth in the RBC Instructions.","type":"section","prefixes":["B","4"],"prefix":"4","entire_prefix":"B4","prefix_anchor":"B4","level":2,"prior_prefix":"B3","next_prefix":"C"},"8":{"id":248748,"text":"A property and casualty insurer’s RBC shall be determined in accordance with the formula set forth in the RBC Instructions. The formula shall take into account, and may adjust for the covariance between, the following risks:","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B4","next_prefix":"C1"},"9":{"id":248749,"text":"Asset risk;","type":"section","prefixes":["C","1"],"prefix":"1","entire_prefix":"C1","prefix_anchor":"C1","level":2,"prior_prefix":"C","next_prefix":"C2"},"10":{"id":248750,"text":"Credit risk;","type":"section","prefixes":["C","2"],"prefix":"2","entire_prefix":"C2","prefix_anchor":"C2","level":2,"prior_prefix":"C1","next_prefix":"C3"},"11":{"id":248751,"text":"Underwriting risk; and","type":"section","prefixes":["C","3"],"prefix":"3","entire_prefix":"C3","prefix_anchor":"C3","level":2,"prior_prefix":"C2","next_prefix":"C4"},"12":{"id":248752,"text":"All other business risks and such other relevant risks as are set forth in the RBC Instructions.\n\t\t\t\tEach risk shall be determined in each case by applying the factors in the manner set forth in the RBC Instructions.","type":"section","prefixes":["C","4"],"prefix":"4","entire_prefix":"C4","prefix_anchor":"C4","level":2,"prior_prefix":"C3","next_prefix":"D"},"13":{"id":248753,"text":"A health organization’s RBC shall be determined in accordance with the formula set forth in the RBC Instructions. The formula shall take into account, and may adjust for the covariance between, the following risks:","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C4","next_prefix":"D1"},"14":{"id":248754,"text":"Asset risk;","type":"section","prefixes":["D","1"],"prefix":"1","entire_prefix":"D1","prefix_anchor":"D1","level":2,"prior_prefix":"D","next_prefix":"D2"},"15":{"id":248755,"text":"Credit risk;","type":"section","prefixes":["D","2"],"prefix":"2","entire_prefix":"D2","prefix_anchor":"D2","level":2,"prior_prefix":"D1","next_prefix":"D3"},"16":{"id":248756,"text":"Underwriting risk; and","type":"section","prefixes":["D","3"],"prefix":"3","entire_prefix":"D3","prefix_anchor":"D3","level":2,"prior_prefix":"D2","next_prefix":"D4"},"17":{"id":248757,"text":"All other business risks and such other relevant risks as are set forth in the RBC Instructions.\n\t\t\t\tEach risk shall be determined in each case by applying the factors in the manner set forth in the RBC Instructions.","type":"section","prefixes":["D","4"],"prefix":"4","entire_prefix":"D4","prefix_anchor":"D4","level":2,"prior_prefix":"D3","next_prefix":"E"},"18":{"id":248758,"text":"An excess of capital over the amount produced by the risk-based capital requirements contained in this Act and the formulas, schedules and instructions referred to in this Act is desirable in the business of insurance. Accordingly, licensees should seek to maintain capital above the RBC levels required by this Act. Additional capital is used and useful in the insurance business and helps to secure a licensee against various risks inherent in, or affecting, the business of insurance and not accounted for or only partially measured by the risk-based capital requirements contained in this Act.","type":"section","prefixes":["E"],"prefix":"E","entire_prefix":"E","prefix_anchor":"E","level":1,"prior_prefix":"D4","next_prefix":"F"},"19":{"id":248759,"text":"If a domestic licensee files an RBC Report which in the judgment of the Commission is inaccurate, then the Commission shall adjust the RBC Report to correct the inaccuracy and shall notify the licensee of the adjustment. The notice shall contain a statement of the reason for the adjustment. An RBC Report as so adjusted is referred to as an “Adjusted RBC Report.”","type":"section","prefixes":["F"],"prefix":"F","entire_prefix":"F","prefix_anchor":"F","level":1,"prior_prefix":"E"}},"ancestry":[{"id":14894,"edition_id":1,"name":"Risk-Based Capital Act","identifier":"55","label":"chapter","depth":2,"order_by":1,"parent_id":12698,"metadata":{},"date_created":"2026-06-26 03:50:37","date_modified":"2026-06-26 03:50:37","permalink":{"id":217847,"object_type":"structure","relational_id":14894,"identifier":"55","token":"38.2\/55","url":"\/38.2\/55\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12698,"edition_id":1,"name":"Insurance","identifier":"38.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":210661,"object_type":"structure","relational_id":12698,"identifier":"38.2","token":"38.2","url":"\/38.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":68244,"structure_id":14894,"section_number":"38.2-5500","catch_line":"Applicability","url":"\/38.2-5500\/","token":"38.2\/55\/38.2-5500","metadata":false},{"id":67232,"structure_id":14894,"section_number":"38.2-5501","catch_line":"Definitions","url":"\/38.2-5501\/","token":"38.2\/55\/38.2-5501","metadata":false},{"id":68713,"structure_id":14894,"section_number":"38.2-5502","catch_line":"RBC Reports","url":"\/38.2-5502\/","token":"38.2\/55\/38.2-5502","metadata":false},{"id":72298,"structure_id":14894,"section_number":"38.2-5503","catch_line":"Company Action Level Event","url":"\/38.2-5503\/","token":"38.2\/55\/38.2-5503","metadata":false},{"id":86775,"structure_id":14894,"section_number":"38.2-5504","catch_line":"Regulatory Action Level Event","url":"\/38.2-5504\/","token":"38.2\/55\/38.2-5504","metadata":false},{"id":85425,"structure_id":14894,"section_number":"38.2-5505","catch_line":"Authorized Control Level Event","url":"\/38.2-5505\/","token":"38.2\/55\/38.2-5505","metadata":false},{"id":69962,"structure_id":14894,"section_number":"38.2-5506","catch_line":"Mandatory Control Level Event","url":"\/38.2-5506\/","token":"38.2\/55\/38.2-5506","metadata":false},{"id":81704,"structure_id":14894,"section_number":"38.2-5507","catch_line":"Hearings","url":"\/38.2-5507\/","token":"38.2\/55\/38.2-5507","metadata":false},{"id":61072,"structure_id":14894,"section_number":"38.2-5508","catch_line":"Confidentiality; prohibition on announcements; prohibition on use in ratemaking","url":"\/38.2-5508\/","token":"38.2\/55\/38.2-5508","metadata":false},{"id":67266,"structure_id":14894,"section_number":"38.2-5509","catch_line":"Supplemental provisions; rules; exemption","url":"\/38.2-5509\/","token":"38.2\/55\/38.2-5509","metadata":false},{"id":80850,"structure_id":14894,"section_number":"38.2-5510","catch_line":"Foreign licensees","url":"\/38.2-5510\/","token":"38.2\/55\/38.2-5510","metadata":false},{"id":61601,"structure_id":14894,"section_number":"38.2-5511","catch_line":"Immunity","url":"\/38.2-5511\/","token":"38.2\/55\/38.2-5511","metadata":false},{"id":56865,"structure_id":14894,"section_number":"38.2-5512","catch_line":"Repealed","url":"\/38.2-5512\/","token":"38.2\/55\/38.2-5512","metadata":false},{"id":83503,"structure_id":14894,"section_number":"38.2-5513","catch_line":"Notices","url":"\/38.2-5513\/","token":"38.2\/55\/38.2-5513","metadata":false},{"id":69834,"structure_id":14894,"section_number":"38.2-5514","catch_line":"Phase-in provision","url":"\/38.2-5514\/","token":"38.2\/55\/38.2-5514","metadata":false},{"id":67792,"structure_id":14894,"section_number":"38.2-5515","catch_line":"Expired","url":"\/38.2-5515\/","token":"38.2\/55\/38.2-5515","metadata":false}],"previous_section":{"id":67232,"structure_id":14894,"section_number":"38.2-5501","catch_line":"Definitions","url":"\/38.2-5501\/","token":"38.2\/55\/38.2-5501","metadata":false},"next_section":{"id":72298,"structure_id":14894,"section_number":"38.2-5503","catch_line":"Company Action Level Event","url":"\/38.2-5503\/","token":"38.2\/55\/38.2-5503","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-5502\/","history_text":"

This law was first created in 1995. The record of its establishment is cataloged in chapter 789<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. It has been modified 1 time. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. That modification is as follows: in 2000, chapter 47<\/a>.<\/p>","references":[{"id":67232,"section_number":"38.2-5501","catch_line":"Definitions","order_by":null,"url":"\/38.2-5501\/"}],"refers_to":false,"permalink":{"id":217857,"object_type":"law","relational_id":68713,"identifier":"38.2-5502","token":"38.2\/55\/38.2-5502","url":"\/38.2-5502\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-5502\/","token":"38.2\/55\/38.2-5502","dublin_core":{"Title":"RBC Reports","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-5502","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> Every domestic licensee<\/span> shall, on or prior to each March 1, the “filing date,” prepare and submit to the Commission<\/span> a report of its RBC Levels<\/span> as of the end of the calendar year just ended, in a form and containing such information as is required by the RBC Instructions<\/span>. In addition, every domestic licensee<\/span> shall file its RBC Report<\/span>: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> With the NAIC<\/span> in accordance with the RBC Instructions<\/span>; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> With the insurance<\/span> commissioner<\/span> in any state<\/span> in which the licensee is authorized to do business, if the insurance<\/span> commissioner<\/span> has notified the licensee of its request in writing, in which case, the licensee shall file its RBC Report<\/span> not later than the later of:\n\t\t\t\ta. Fifteen days from the receipt of notice to file its RBC Report<\/span> with that state<\/span>; or\n\t\t\t\tb. The filing date. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> A life and health insurer<\/span>’s RBC shall be determined in accordance with the formula set forth in the RBC Instructions<\/span>. The formula shall take into account, and may adjust for the covariance between, the following risks: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> The risk with respect to the insurer’s assets<\/span>; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> The risk of adverse insurance<\/span> experience with respect to the insurer’s liabilities and obligations; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> The interest rate<\/span> risk with respect to the insurer’s business; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> All other business risks and such other relevant risks as are set forth in the RBC Instructions<\/span>.\n\t\t\t\tEach risk shall be determined in each case by applying the factors in the manner set forth in the RBC Instructions<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> A property and casualty insurer<\/span>’s RBC shall be determined in accordance with the formula set forth in the RBC Instructions<\/span>. The formula shall take into account, and may adjust for the covariance between, the following risks: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> Asset risk; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> Credit risk; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> Underwriting risk; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> All other business risks and such other relevant risks as are set forth in the RBC Instructions<\/span>.\n\t\t\t\tEach risk shall be determined in each case by applying the factors in the manner set forth in the RBC Instructions<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

D.<\/span> A health organization<\/span>’s RBC shall be determined in accordance with the formula set forth in the RBC Instructions<\/span>. The formula shall take into account, and may adjust for the covariance between, the following risks: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> Asset risk; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> Credit risk; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> Underwriting risk; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> All other business risks and such other relevant risks as are set forth in the RBC Instructions<\/span>.\n\t\t\t\tEach risk shall be determined in each case by applying the factors in the manner set forth in the RBC Instructions<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

E.<\/span> An excess of capital over the amount produced by the risk-based capital<\/span> requirements contained in this Act and the formulas, schedules<\/span> and instructions referred to in this Act is desirable in the business of insurance<\/span>. Accordingly, licensees<\/span> should seek to maintain capital above the RBC levels<\/span> required by this Act. Additional capital is used and useful in the insurance<\/span> business and helps to secure a licensee against various risks inherent in, or affecting, the business of insurance<\/span> and not accounted for or only partially measured by the risk-based capital<\/span> requirements contained in this Act. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

F.<\/span> If a domestic licensee<\/span> files an RBC Report which in the judgment<\/span> of the Commission<\/span> is inaccurate, then the Commission<\/span> shall adjust the RBC Report to correct the inaccuracy and shall notify the licensee of the adjustment. The notice shall contain a statement of the reason for the adjustment. An RBC Report as so adjusted is referred to as an “Adjusted RBC Report<\/span>.” <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nRBC REPORTS (\u00a7 38.2-5502)\n\nA. Every domestic licensee shall, on or prior to each March 1, the “filing\ndate,” prepare and submit to the Commission a report of its RBC Levels as\nof the end of the calendar year just ended, in a form and containing such\ninformation as is required by the RBC Instructions. In addition, every domestic\nlicensee shall file its RBC Report:\n\n 1. With the NAIC in accordance with the RBC Instructions; and\n\n 2. With the insurance commissioner in any state in which the licensee is\n authorized to do business, if the insurance commissioner has notified the\n licensee of its request in writing, in which case, the licensee shall file its\n RBC Report not later than the later of:\n \t\t\t\ta. Fifteen days from the receipt of notice to file its RBC Report with\n that state; or\n \t\t\t\tb. The filing date.\n\nB. A life and health insurer’s RBC shall be determined in accordance with\nthe formula set forth in the RBC Instructions. The formula shall take into\naccount, and may adjust for the covariance between, the following risks:\n\n 1. The risk with respect to the insurer’s assets;\n\n 2. The risk of adverse insurance experience with respect to the\n insurer’s liabilities and obligations;\n\n 3. The interest rate risk with respect to the insurer’s business; and\n\n 4. All other business risks and such other relevant risks as are set forth in\n the RBC Instructions.\n \t\t\t\tEach risk shall be determined in each case by applying the factors in the\n manner set forth in the RBC Instructions.\n\nC. A property and casualty insurer’s RBC shall be determined in accordance\nwith the formula set forth in the RBC Instructions. The formula shall take into\naccount, and may adjust for the covariance between, the following risks:\n\n 1. Asset risk;\n\n 2. Credit risk;\n\n 3. Underwriting risk; and\n\n 4. All other business risks and such other relevant risks as are set forth in\n the RBC Instructions.\n \t\t\t\tEach risk shall be determined in each case by applying the factors in the\n manner set forth in the RBC Instructions.\n\nD. A health organization’s RBC shall be determined in accordance with the\nformula set forth in the RBC Instructions. The formula shall take into account,\nand may adjust for the covariance between, the following risks:\n\n 1. Asset risk;\n\n 2. Credit risk;\n\n 3. Underwriting risk; and\n\n 4. All other business risks and such other relevant risks as are set forth in\n the RBC Instructions.\n \t\t\t\tEach risk shall be determined in each case by applying the factors in the\n manner set forth in the RBC Instructions.\n\nE. An excess of capital over the amount produced by the risk-based capital\nrequirements contained in this Act and the formulas, schedules and instructions\nreferred to in this Act is desirable in the business of insurance. Accordingly,\nlicensees should seek to maintain capital above the RBC levels required by this\nAct. Additional capital is used and useful in the insurance business and helps\nto secure a licensee against various risks inherent in, or affecting, the\nbusiness of insurance and not accounted for or only partially measured by the\nrisk-based capital requirements contained in this Act.\n\nF. If a domestic licensee files an RBC Report which in the judgment of the\nCommission is inaccurate, then the Commission shall adjust the RBC Report to\ncorrect the inaccuracy and shall notify the licensee of the adjustment. The\nnotice shall contain a statement of the reason for the adjustment. An RBC Report\nas so adjusted is referred to as an “Adjusted RBC Report.”\n\nHISTORY: 1995, c. 789; 2000, c. 47.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}