Combine potatoes, onion, green pepper, ham hock, and water in a 3-quart Dutch oven; bring to a boil. Reduce heat; cover and simmer 25 minutes or until potatoes are tender. Remove and discard ham hock. Drain vegetables, reserving 1/2 cup cooking liquid.
Place vegetables and reserved cooking liquid in container of an electric blender; process until smooth. Combine pureed vegetable mixture and next 7 ingredients in a medium saucepan, mixing well. Cook, stirring constantly, until soup is thoroughly heated. (Do not boil.)
Ladle soup into individual serving bowls. Sprinkle each serving with paprika, and garnish with fresh parsley sprigs, if desired.