Insurance Commissioner/Department

If an employee of a company destroys records how are they punished?

A fine. After notice and hearing Commissioner may revoke the certificate of authority of the company

During an exam what 3 things can the commissioner do?

-Subpoena witnesses -administer oaths -require production of books and documents relating to the subject of examination

When can The Commissioner hold a hearing?

-When required by MT Insurance Code -On Written demand of any person who contests and act of the Commissioner -When deemed necessary

The commissioner must give notice of time and place of hearing how many days in advance?

10 days

All resident insurance producers must maintain what?

A place of business in MT

If the Commisioner finds that someone has committed an unfair trade practice what can he order?

Cease and Desist

Who does The Commisioner Appoint to help direc the Insurance Department?

Chief Deputy Insurance Commissioner

Who pays for examinations?

Examinees pay for travel and living expense for examiners at rates from Commissioner

Why does The Commissioner make rules and regulations?

Help carry out the provisions of the MT insurance code

What is stay of action?

If Commissioner receives demand for hearing within ten days after an order is delivered, the effectiveness of the order will be postponed pending the outcome of the hearing

What does the Insurance Department request to the Attorney General's Office?

Impose, asses or recover the civil penalty

What happens when the Cease and Desist is ordered?

Individual can appeal and if upheld it must be obeyed and court may enforce other punitive action

Examination of alien insurers can be what with regard to their insurance transactions in the US?

Limited

What does The Commissioner of Insurance Supervise?

MT Insurance Department

Can persons be excused from testifying because evidence may incriminate them?

No

How much money will it cost an individual who violates the final order?

Up to 1000 per day but cannot exceed 10,000

Can The Commissioner appoint additonal deputy commissioners if necessary?

Yes

Who is The Commissioner responsible for?

acts of his appointees

What can the court do with respect to the commissioners decision?

affirm, modify, or reverse

Who can appeal to hearing? Within how many days after order is mailed?

anyone 30

All parties to the hearing can what 6 things?

appear in person or with attorney be present while evidence is given inspect all documentary evidence examine witnesses present evidence to support have Commissioner issue subpoena

When can The commissioner terminate appointments?

at anytime

The order must state what 4 things?

date order takes effect purpose grounds on which order is based applicable provisions of insurance code

Can their testimony be used against them in a criminal prosecution?

no

Whenever a person violates any provision of the MT insurance code what can The Commissioner Issue?

order directing the person to cease and desist

Alien insurers need to only report what by March 1st? They must be verified by who?

their affairs in the US their US manager

The Commissioner provides the courts with what?

transcripts of hearing.

Within ___ days after an order has been delivered the Commissioner can grant a rehearing if requested by a party to the hearing.

30

Every additional violation of the insurance code is punishable by fine of at least how much money and at lease how many days in jail or both?

50-1000 30-90

Within how many days after examination must the examiner file a written report with the department?

60

What can The Commissioner and the appointees not have?

financial interest in any insurer, agency, or insurance transaction

What happens if someone fails to produce evidence?

guilty of misdemeanor

The department may not commence an action unless what?

it is brought within 5 years of date of violation

What 6 things can the commissioner exam regarding accounts, documents, transactions into an unfair method of competition or deceptive act?

-Authorized insurers must be examined at least once every 5 years -All insurers applying for an initial certificate of authority to do business in MT -Insurance Producers, surplus lines insurance producers, general insurance producers, or adjusters -Anyone who has contractual right to manage or control an insurer -Anyone holding shares of voting stock, to control the management of a domestic insurer -Anyone engaged in promotion or formation of a domestic insurer or insurance holding company

What 4 appointments can The Commissioner make?

-Examiners to examine insurers -Field Investigators to investigate violations of insurance code -Chief Clerk of Insurance Department -Other persons to assist Insurance Dept

What must examination reports only include?

-Facts from books, records or documents of the company its agents, officer or other persons examined -the conclusions and recommendations the examiners find the facts reasonably warrant

When can The Commissioner Accept the examination reports of foreign or alien insurance regulators?

-If insurance dept from the state of residence was accredited under NAIC financial regulation standards and accreditation program at the time of the exam -exam was performed under supervision of an accredited state insurance dept or an examiner employed by an accredited state insurance dept certifies the examination was conductor under appropriate standards

After conducting a hearing the commissioner can impose a fine of $____ upon a person who violates any provision of the MT insurance code.

25000

After the examination report is submitted to The Department how many days after the report has been sent to the company do they have to submit a rebuttal?

30

All hearings must be held or refused in how many days after the commissioner receives the demand?

30

Can the place of business be the insurers home? What occurs at the place of business?

Yes. Conduct transactions, maintain records for 3 years after each transaction, display all licenses

Can the commisioner investigate claims of unfair trade practice? Explain what the commissioner can do involving undefined unfair trade practices.

Yes. Investigate all charges. After holding a public meeting to investigate violation the Commissioner can, through the attorney general, have the court grant a restraining order against the person accused of committing unfair trade practice

When can the Department commence an action for violation of the insurance code?

within two years after violation or within two years after department discovers violation

When can rules be made or amended?

After a hearing only

What must happen by March 1st each year?

MT insurance companies must file with the Commissioner a statement of their financial conditions, transactions, and affairs for the previous calendar year

What are the 7 duties of The Commissioner of Insurance?

-Conduct Hearings -Exam financial condition of insurers -Maintain Required Books and Records -Issue Licenses and Certifications of authority to transact insurance business in MT -Issuing Orders and Notices Regarding Insurance Matters -Appointing Individuals to help with the duties of the Insurance Dept -Approve Insurance Forms and Rates

The Commisioner must make an order on a hearing within how may days after hearing is completed?

30

What is the only thing The Commissioner and the appointees can have financial interest in?

If they are a policyholder or a claimant