375.164. Management contracts, to be filed with director when requested--may examine records of company, to what extent--notice of management contract required.
Management contracts, to be filed with director when requested--mayexamine records of company, to what extent--notice of managementcontract required.
375.164. 1. All agreements or contracts under which any person,organization or corporation enjoys in fact the exclusive or dominant right tomanage or control any insurer doing business under any of the insurance lawsof this state to the substantial exclusion of the board of directors,officers, attorney in fact or other lawful management shall be filed with thedirector on his request.
2. The director, for the purpose of ascertaining the assets, conditionsand affairs of any insurer, may examine the books, records, documents andassets of any person having a contract or agreement as provided in subsection1 to the extent necessary to determine the financial condition of the insurer. The failure or refusal of any such person to submit his books, papers,accounts, records or affairs to the reasonable inspection or examination ofthe director shall be grounds for the suspension or revocation of thecertificate of authority of the insurer to do business in this state.
3. No agreement or contract as provided in subsection 1 shall operate tothe financial detriment of the insurer in such manner as to endanger thefinancial stability of the insurer or otherwise be hazardous to thepolicyholders and creditors of the insurer.
4. On examination of any agreement or contract, if the director finds itviolates the provisions of this section, he shall proceed in accordance withthe provisions of section 374.046, RSMo.
5. Any person, organization or corporation having a management contractas provided in subsection 1 hereof shall within five days of execution of suchcontract provide notice of such contract to the director of the department ofinsurance, financial institutions and professional registration.
(L. 1967 p. 516)