Montana Code 33-10-109. Notice of insolvencies — suspension — other powers and duties of commissioner
33-10-109. Notice of insolvencies — suspension — other powers and duties of commissioner. (1) The commissioner shall:
Terms Used In Montana Code 33-10-109
- Association: means the Montana insurance guaranty association created under 33-10-103. See Montana Code 33-10-102
- Insolvent insurer: means an insurer:
(a)authorized to transact insurance in this state either at the time the policy was issued or when the insured event occurred; and
(b)against whom an order of liquidation has been entered with a finding of insolvency by a court of competent jurisdiction in the insurer's state of domicile. See Montana Code 33-10-102
- Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
- Member insurer: means a person who:
(a)writes any kind of insurance to which this part applies under 33-10-101(3), including the exchange of reciprocal or interinsurance contracts; and
(b)is licensed to transact insurance in this state. See Montana Code 33-10-102
- Net direct written premiums: means direct gross premiums written in this state on insurance policies to which this part applies, less return premiums on the policies and dividends paid or credited to policyholders of policies to which this part applies. See Montana Code 33-10-102
- State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201
(a)notify the association of the existence of an insolvent insurer not later than 3 days after the commissioner receives notice of the determination of the insolvency;
(b)upon request of the board of directors, provide the association with a statement of the net direct written premiums of each member insurer.
(2)The commissioner may:
(a)require that the association notify the insureds of the insolvent insurer and any other interested parties of the determination of insolvency and of their rights under this part. The notification must be by mail at their last-known addresses, where available, but if sufficient information for notification by mail is not available, notice by publication in a newspaper of general circulation is sufficient.
(b)suspend or revoke, after notice and hearing, the certificate of authority to transact insurance in this state of any member insurer that fails to pay an assessment when due or fails to comply with the plan of operation. As an alternative, the commissioner may levy a fine on any member insurer that fails to pay an assessment when due. The fine may not exceed 5% of the unpaid assessment a month, except that a fine may not be less than $100 a month.
(c)revoke the designation of any servicing facility if the commissioner finds claims are being handled unsatisfactorily.
(3)Any final action or order of the commissioner under this part must be subject to judicial review in a court of competent jurisdiction.