Growing Like Gangbusters Insurance Company is a property casualty company specializing in workers compensation. Its financial statements as of December 31, 2019 have the following key metrics: Total Assets: $150 M Fixed Income Assets $ 80 M Equity Assets $ 60 M Total Liabilities: Loss Reserves Unearned Premium $120 M $ 70 M $ 40 M 2019 Earned Premium: $ 30 M 5% R1 factor for its blend of fixed income assets R2 factor for its blend of equity assets = 20% R3 = 0 R4 factors for underwriting risk: loss reserves = 20%; Unearned Premium Reserve = 5% R5 factor for premium growth = 20% a. What is the RBC Company Action Level for Growing Like Gangbusters? (1 point) b. What is Growing Like Gangbusters' RBC ratio as of December 31, 2019? (1 point) c. At what dollar amount of surplus would the regulator be required to take over Growing Like Gangbusters? (1 point) d. Above what dollar amount of surplus would no action, including the trend test, be required of either the regulator or Growing Like Gangbusters? (1 point) e. Under what conditions would Growing Like Gangbusters fail the trend test? (1 point) Hint: Level Company Action Level Regulatory Action Level Authorized Control Level | Mandatory Control Level Insurer Capital Level Between 150 and 200% Between 100 and 150% Between 70 and 100% Under 70% Growing Like Gangbusters Insurance Company is a property casualty company specializing in workers compensation. Its financial statements as of December 31, 2019 have the following key metrics: Total Assets: $150 M Fixed Income Assets $ 80 M Equity Assets $ 60 M Total Liabilities: Loss Reserves Unearned Premium $120 M $ 70 M $ 40 M 2019 Earned Premium: $ 30 M 5% R1 factor for its blend of fixed income assets R2 factor for its blend of equity assets = 20% R3 = 0 R4 factors for underwriting risk: loss reserves = 20%; Unearned Premium Reserve = 5% R5 factor for premium growth = 20% a. What is the RBC Company Action Level for Growing Like Gangbusters? (1 point) b. What is Growing Like Gangbusters' RBC ratio as of December 31, 2019? (1 point) c. At what dollar amount of surplus would the regulator be required to take over Growing Like Gangbusters? (1 point) d. Above what dollar amount of surplus would no action, including the trend test, be required of either the regulator or Growing Like Gangbusters? (1 point) e. Under what conditions would Growing Like Gangbusters fail the trend test? (1 point) Hint: Level Company Action Level Regulatory Action Level Authorized Control Level | Mandatory Control Level Insurer Capital Level Between 150 and 200% Between 100 and 150% Between 70 and 100% Under 70%