Risk-based capital (RBC) requirements

{
  "id": "MLC-T-INS-003731",
  "term": "Risk-based capital (RBC) requirements",
  "field": "Insurance and risk management",
  "definition": "Regulatory standards that mandate the minimum amount of capital an insurer must hold to support its operations and absorb potential losses. These requirements are calculated based on the specific risks an insurer faces, including asset risk, credit risk, underwriting risk, and other business risks. The National Association of Insurance Commissioners (NAIC) developed the RBC formula used in the United States.",
  "url": "https://mlchart.com/terminology/insurance/risk-based-capital-rbc-requirements/"
}