Initial net worth and capital requirements

R.I. Gen. Laws § 27-41-13.1., under Chapter 27-41 Health Maintenance Organizations.

R.I. Gen. Laws § 27-41-13.1.

Before the director issues a certificate of authority in accordance with § 27-41-4 of this act, an applicant seeking to establish or operate a health maintenance organization shall have the greater of:

(1) The amount of capital required for a health organization under chapter 4.7 of this title;

(2) An initial net worth of three million dollars ($3,000,000); or

(3) At the commissioner’s discretion, an amount greater than required under subsection (1) or (2), as indicated by a business plan and a projected risk-based capital calculation after the first full year of operation based on the most current National Association of Insurance Commissioners Health Annual Statements Blank.