C1 Work Group (LPC)

The C1 Work Group was formed in 2012 to review and revise the current capital requirements for the investment risks of life insurance companies, as contained in the Life RBC formula. The work group is reviewing all aspects of the C1 component, including assumptions, methodologies and consistency of risk measures. The work group will recommend revisions as appropriate, which may include RBC factor updates, NAIC bond designations, and use of alternative methods of capital determination for specific asset classes. The C1 Work Group has several subgroups focusing on specific aspects of the C1 review, including the Default, Recovery, Reserve Offset, AVR, Economic Model, Bond Model, and Representative Portfolio subgroups.

Staff liaison: Ian Trepanier

Co-Chairperson: Nancy Bennett
Co-Chairperson: RJ (Jerry) Holman

Adam Arians
Philip Barlow
Ken Griffin
Kory Olsen
Richard Owens
Jennifer Parkes
James Reiskytl
Ruth Sayasith
Stephen Smith
Lisa Thomas
Chris Trost
Mark Yu

Related Publications

C1 Work Group comment letter on alternative C1 bond factors for different levels of statutory reserve offset.  (July 17, 2018)
C1 Work Group comment letter to NAIC Valuation of Securities Task Force on their proposal to add instructions for fund investments to the Purposes and Procedures Manual.  (June 25, 2018)
C1 Work Group comment letter to the NAIC’s Investment Risk-Based Capital (E) Working Group on proposed risk based capital C1 factors for corporate bonds. 
(February 14, 2018)
The C1 Work Group comments to the NAIC’s Investment Risk-Based Capital (E) Working Group on capital requirements for bonds. (October 10, 2017)
C1 Work Group comments to the NAIC's Investment Risk-Based Capital Working Group (IRBC) on their recent proposal on RBC requirements for real estate. (July 24, 2017)
C1 Work Group comments to the NAIC with revised recommendations on corporate bond risk-based capital (RBC) factors based on changes to the representative portfolio. (June 08, 2017)
Nancy Bennett, Senior Life Practice Council Fellow, and Rich Owens, member of the Academy C1 Work Group, presented an update on portfolio adjustments to the C1 factors for corporate bonds to the NAIC Investment Risk-based Capital Working Group (December 11, 2016)
C1 Work Group comments to the NAIC's Investment Risk Based Capital Working Group on proposed RBC factors for fixed income securities for the NAIC’s life RBC formula. (October 17, 2016)
C1 Work Group comments to the NAIC's Investment Risk Based Capital Working Group in response to the “Proposal for Life Bond Granularity and Related Issues” dated Sept. 6, 2016. (October 05, 2016)
C1 Work Group (C1WG) comments on the ACLI’S proposed Life Insurer C-1 Asset Risk-Based Capital Requirement – Real Estate that was exposed by the NAIC Investment Risk-Based Capital Working Group. (September 29, 2015)
C-1 Work Group Presentation to NAIC on C-1 Factors for Corporate Bonds
C-1 Work Group report and presentation to the NAIC’s Investment Risk-Based Capital Working Group on C-1 factors for corporate bonds. (August 19, 2015)
C-1 Work Group report to the NAIC’s Investment Risk-Based Capital Working Group on C-1 factors for corporate bonds. (August 19, 2015)
Presentation to NAIC on C-1 Factors for Corporate Bonds
C-1 Work Group presentation to the NAIC’s Investment Risk-Based Capital Working Group on C-1 factors for corporate bonds. (August 16, 2014)
C-1 Work Group presentation to the NAIC Investment Risk-Based Capital Working Group on C-1 Factors for Corporate Bonds in Life Risk-Based Capital Instructions.
(March 29, 2014)
C1 Workg Group presentation to the NAIC Investment Risk-Based Capital Working Group on the benefits and uses of a representative portfolio for C1 factors in the Risk-Based Capital formula.   (August 24, 2013)
Comment letter from the C1 Work Group to the NAIC Investment Risk-Based Capital Working Group on Illinois’ common stock proposal for C1 Risk-based Capital.  
(July 24, 2013)
C1 Work Group Presents Benefits of Representative Portfolios to NAIC
C-1 Work Group Gives Update on Factors for Corporate Bonds
C1 Work Group Submits Comments on Proposed C-1 Asset RBC Requirement