New Jersey § 17:48F-14 Maintenance of tangible net equity.

New Jersey Statutes

§ 17:48F-14 — Maintenance of tangible net equity.

New Jersey § 17:48F-14

Title 17CORPORATIONS AND INSTITUTIONS FOR FINANCE AND INSURANCE

This text of New Jersey § 17:48F-14 (Maintenance of tangible net equity.) is published on Counsel Stack Legal Research, covering New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

N.J. Stat. Ann. § 17:48F-14 (2026).

Text

14. a. Except as provided in subsection b. of this section, each prepaid prescription service organization shall, at all times, have and maintain tangible net equity equal to the greater of:

(1)$50,000; or (2) 2% of the organization's annual gross premium income, up to a maximum of the required capital and surplus of an admitted health insurer. b. An organization which has uncovered expenses in excess of $50,000, as reported on the most recent annual financial statement filed with the commissioner, shall maintain tangible net equity equal to 25% of the uncovered expense in excess of $50,000, in addition to the tangible net equity required by subsection a. of this section. c. The dollar amounts specified in subsections a. and b. of this section shall be adjusted annually by the commissione

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14. a. Except as provided in subsection b. of this section, each prepaid prescription service organization shall, at all times, have and maintain tangible net equity equal to the greater of: (1) $50,000; or (2) 2% of the organization's annual gross premium income, up to a maximum of the required capital and surplus of an admitted health insurer. b. An organization which has uncovered expenses in excess of $50,000, as reported on the most recent annual financial statement filed with the commissioner, shall maintain tangible net equity equal to 25% of the uncovered expense in excess of $50,000, in addition to the tangible net equity required by subsection a. of this section. c. The dollar amounts specified in subsections a. and b. of this section shall be adjusted annually by the commissioner, by regulation, in accordance with changes in the Consumer Price Index. L.1997,c.380,s.14.