Indiana Code 27-8-8-9. Detection and prevention of insurer insolvencies or impairments; actions of board of directors
(1) Notify the insurance regulatory authorities of all the other states not more than thirty (30) days after the date an action taken by the commissioner occurs when the commissioner takes any of the following actions against a member insurer:
Terms Used In Indiana Code 27-8-8-9
- Germane: On the subject of the pending bill or other business; a strict standard of relevance.
(B) Suspends the member insurer’s certificate of authority.
(C) Issues a formal order that the member insurer restrict its premium writing, obtain additional contributions to surplus, withdraw from Indiana, reinsure all or any part of its business, or increase capital, surplus, or any other account for the security of policy owners or creditors.
(2) Report to the association when the commissioner takes any of the actions set forth in subdivision (1) or when the commissioner has received a report from any other insurance regulatory authority indicating that an action has been taken in another state. The report to the association must contain all significant details of the action taken or of the report received from another insurance regulatory authority.
(3) Report to the association when the commissioner has reasonable cause to believe from an examination, whether completed or in process, of a member insurer that the member insurer may be impaired or insolvent.
(4) Furnish to the association the NAIC Insurance Regulatory Information System (IRIS) ratios and listings of companies not included in the ratios developed by the National Association of Insurance Commissioners. The association may use the information contained in the ratios and listings in carrying out its duties and responsibilities under this chapter. The report and the information contained in the report must be kept confidential by the association until made public by the commissioner or other lawful authority.
(b) The commissioner may seek the advice and recommendations of the association concerning a matter affecting the commissioner’s duties and responsibilities in regard to the financial condition of member insurers and insurers seeking admission to transact insurance business in Indiana.
(c) The association may, upon majority vote by the board, make reports and recommendations to the commissioner on any matter germane to the solvency, liquidation, rehabilitation, or conservation of a member insurer or germane to the solvency of any insurer seeking to do an insurance business in Indiana. The reports and recommendations are not public documents.
(d) The association may, upon majority vote by the board, notify the commissioner of any information indicating that a member insurer may be impaired or insolvent.
(e) The association may, upon majority vote by the board, make recommendations to the commissioner for the detection and prevention of member insurer insolvencies.
As added by Acts 1978, P.L.129, SEC.3. Amended by P.L.193-2006, SEC.23; P.L.208-2018, SEC.21.