in-20260211-IR-760260021FNA: INSURANCE HOLDING COMPANY SYSTEMS

TITLE 760 DEPARTMENT OF INSURANCE Notice of First Comment Period LSA Document #26-21 INSURANCE HOLDING COMPANY SYSTEMS PURPOSE OF NOTICE The Indiana Department of Insurance (IDOI) is soliciting public comment on adding and amending rules at 760 IAC 1-15.1 concerning the following updates: (1) Clarifying that the ultimate controlling person of an insurer shall furnish the required information on Form F. (2) Clarifying the requirements for cost sharing and management services agreements between affiliates regarding access to records and data, and adding language related to the group capital calculation requirement. (3) The criteria for the lead state commissioner to exempt an insurance holding company system from the group capital calculation filing requirement. (4) The criteria a non-U.S. jurisdiction uses to consider the group capital calculation recognized and accepted. IDOI seeks comment on the affected citations listed and any other provisions of Title 760 that may be affected by this rulemaking. ADDITIONAL DOCUMENTS Regulatory Analysis: 20260211-IR-760260021RAA Notice of Public Hearing: 20260211-IR-760260021PHA CITATIONS AFFECTED: 760 IAC 1-15.1 AUTHORITY: IC 27-1-3-7 OVERVIEW Basic Purpose and Background The proposed additions and amendments to 760 IAC 1-15.1 are in response to recent changes in the National Association of Insurance Commissioners (NAIC) Model Law 450, which sets out rules for insurance holding company systems across jurisdictions. This rule is an NAIC Accreditation Standard, and amendments are necessary to bring 760 IAC 1-15.1 into alignment with NAIC Model Law 450 and for Indiana to retain NAIC accreditation. For purposes of IC 4-22-2-28.1, small businesses affected by this rulemaking may contact the Small Business Regulatory Coordinator: For purposes of IC 4-22-2-28.1, the Small Business Ombudsman designated by IC 5-28-17-6 is: Resources available to regulated entities through the small business ombudsman include the ombudsman's duties stated in IC 5-28-17-6, specifically IC 5-28-17-6(9), investigating and attempting to resolve any matter regarding compliance by a small business with a law, rule, or policy administered by a state agency, either as a party to a proceeding or as a mediator. REQUEST FOR PUBLIC COMMENT IDOI is soliciting public comment on the proposed rule. Comments may be submitted in one of the following ways: COMMENT PERIOD DEADLINE All comments must be postmarked or time stamped not later than March 13, 2026. The rule, Regulatory Analysis, appendices referenced in the Regulatory Analysis, and materials incorporated by reference (if applicable) are on file at the Indiana Department of Insurance, 311 West Washington Street, Suite 103, Indianapolis, Indiana, and are available for public inspection. Copies of the rule, Regulatory Analysis, and appendices referenced in the Regulatory Analysis are available at the Department of Insurance office. If IDOI does not receive substantive comments during the public comment period or public hearing, the rule may be adopted with text that is the same as or does not substantially differ from the text of the proposed rule published in this notice. PROPOSED RULE Sec. 3. (a) A person required to file or amend a statement regarding a proposed acquisition of control under IC 27-1-23-2 shall furnish the required information on Form A as provided in section 4 of this rule. (b) An insurer required to file or amend a registration statement under IC 27-1-23-3 shall furnish the required information on Form B as provided in section 5 of this rule. (c) An insurer required to file an annual registration statement under IC 27-1-23-3 is also required to furnish the information required on Form C, as provided in section 6 of this rule, and shall file a Form C with the commissioner. (d) An insurer required to give notice of a proposed transaction under IC 27-1-23-4 shall furnish the required information on Form D as provided in section 7 of this rule. (e) If: that person shall file a preacquisition notification form, Form E. No A preacquisition notification form does not need to be filed if the acquisition is beyond the scope of IC 27-1-23-2.5(c). In addition to the information required by Form E, the commissioner may require an expert opinion as to the competitive impact of the proposed acquisition. (f) The ultimate controlling person of an insurer required to file an enterprise risk report under IC 27-1-23-3 shall furnish the required information on Form F as provided in section 7.2 of this rule. (f) (g) Forms A through F are intended to be guides in the preparation of the statements required by IC 27-1-23-2 through IC 27-1-23-4. They are not intended to be blank forms that are to be filled in. (g) (h) The statements filed shall must contain the numbers and captions of all items, but the text of the items may be omitted, provided the answers thereto are prepared in such a manner as to indicate way that clearly indicates the scope and the coverage of the items. (h) All (i) Instructions, whether appearing under the items of the forms or elsewhere, are to be omitted. Unless expressly provided otherwise, if any an item is inapplicable or the answer thereto is in the negative, an appropriate statement to that effect shall must be made. (i) (j) Three (3) complete copies of each statement, including exhibits and all other papers and documents filed as part thereof, shall of a statement, must be filed with the commissioner by personal delivery or mail addressed to: At least one (1) of the copies shall must be signed in the manner prescribed on the form. Unsigned copies shall will be conformed. If the signature of any person is affixed pursuant to by a power of attorney or other similar authority, a copy of the power of attorney or other authority shall must also be filed with the statement. (j) (k) Statements should be prepared on paper eight and one-half (8 1/2) inches by eleven (11) inches in size, and preferably bound at the top left hand corner. Exhibits and financial statements, unless specifically prepared for the filing, may be submitted in their original size. (k) (l) If a hearing is requested on a consolidated basis, in addition to filing the Form A with the commissioner, the acquiring person shall file a copy of Form A with the NAIC in electronic form. (l) All (m) Copies of any statement, financial statement, or exhibit shall must be clear, easily readable, and suitable for review and reproduction. Debits in credit categories and credits in debit categories shall must be designated so as to be clearly distinguishable as such on photocopies. (m) (n) Statements, attached exhibits, and all other documents filed with the commissioner shall must be in the English language, and monetary values shall be stated in United States currency. If any exhibit or other paper or document filed with the statement is in a foreign language, it shall must be accompanied by a translation into the English language, and any monetary value shown in a foreign currency normally shall must be converted into United States currency. Sec. 3.5. (a) An insurer required to give notice of a proposed transaction in accordance with IC 27-1-23-4 shall furnish the required information on Form D. (b) Agreements for cost sharing services and management services shall must at a minimum least, and as applicable, do the following: Sec. 3.6. (a) Where an insurance holding company system has previously filed the annual group capital calculation at least once, the lead state commissioner has the discretion to exempt the ultimate controlling person from filing the annual group capital calculation if the lead state commissioner makes a determination based on that filing that the insurance holding company system meets the following criteria: (b) Where an insurance holding company system has previously filed the annual group capital calculation at least once, the lead state commissioner has the discretion to accept, instead of the group capital calculation, a limited group capital filing if the insurance holding company system has annual direct written and unaffiliated assumed premium, including international direct and assumed premium, but excluding premiums reinsured with the Federal Crop Insurance Corporation and Federal Flood Program, of less than one billion dollars ($1,000,000,000) and the following additional criteria are met: (c) For an insurance holding company that has previously met an exemption with respect to the group capital calculation under subsection (a) or (b), the lead state commissioner may require at any time the ultimate controlling person to file an annual group capital calculation, completed in accordance with the NAIC Group Capital Calculation Instructions, if any of the following criteria are met: (d) A non-U.S. jurisdiction is considered to recognize and accept the group capital calculation if it satisfies the following criteria: (e) A list of non-U.S. jurisdictions that recognize and accept the group capital calculation will be published through the NAIC Committee Process as follows: