17B:33-9 - Misrepresentation by unauthorized insurer;  notice to domiciliary  supervisory official;  action

17B:33-9.  Misrepresentation by unauthorized insurer;  notice to domiciliary  supervisory official;  action
    No unauthorized insurer shall make, issue, circulate or cause to be made, issued or circulated, to residents of this State any estimate, illustration, circular, pamphlet, or letter, or cause to be made in any newspaper, magazine or other publication, any announcement or statement to such residents misrepresenting its financial condition or the terms of any contracts issued or  to be issued or the benefits or advantages promised thereby, or the dividends  or share of the surplus to be received thereon in violation of chapter 30 of  Title 17B of the Revised Statutes and whenever the commissioner shall have  reason to believe that any such insurer is engaging in such unlawful  advertising, he shall give notice of such fact by registered or certified mail  to such insurer and to the insurance supervisory official of the domiciliary  State of such insurer.  For the purpose of this section, the domiciliary State  of an alien insurer shall be deemed to be the State of entry or the State of  the principal office in the United States.

    If after 30 days following the giving of notice, such insurer has failed to  cease making, issuing, or circulating such false misrepresentations or causing  the same to be made, issued or circulated in this State, and if the Commissioner has reason to believe that a proceeding by him in respect to such matters would be to the interest of the public, and that such insurer is issuing or delivering contracts of insurance to residents of this State or collecting premiums on such contracts or doing any of the acts enumerated in section 17B:33-2, the commissioner shall issue and serve upon such unauthorized  insurer a statement of the charges in that respect and a notice of hearing  pursuant to the Administrative Procedure Act (P.L.1968, c. 410) and any rules  adopted thereunder for an order to cease and desist.

     L.1971, c. 144, s. 17B:33-9.