40-3307. Examination of registered insurers; powers of commissioner; expert advisers; expenses, liability of insurers.
40-3307
40-3307. Examination of registered insurers; powers ofcommissioner; expert advisers; expenses, liability of insurers.(a) Subject to the limitation contained in this section and in additionto the powers which the commissioner of insurance has under K.S.A.40-222 and K.S.A. 40-222a relating to the examination of insurers, thecommissioner of insurance shall also have the power to order any insurerregistered under K.S.A. 40-3305 to produce such records, books, orother information papers in the possession of the insurer or itsaffiliates as shall be necessary to ascertain the financial condition orlegality of conduct of such insurer. In the event such insurer fails tocomply with such order, the commissioner of insurance shall have thepower to examine such affiliates to obtain such information.
(b) The commissioner of insurance shall exercise his power undersubsection (A) of this section only if the examination of the insurerunder K.S.A. 40-222 or K.S.A. 40-222a is inadequate or the interests ofthe policyholders of such insurer may be adversely affected.
(c) The commissioner of insurance may retain at the registeredinsurer's expense such attorneys, actuaries, accountants and otherexperts not otherwise a part of the commissioner's staff as shall bereasonably necessary to assist in the conduct of the examination undersubsection (a) of this section. Any persons so retained shall be underthe direction and control of the commissioner of insurance and shall actin a purely advisory capacity.
(d) Each registered insurer producing examination records, books andpapers pursuant to subsection (a) of this section shall be liable forand shall pay the expense of such examination in accordance with K.S.A.40-223 and K.S.A. 40-253.
History: L. 1974, ch. 183, § 7; Jan. 1, 1975.