(1) If the Director of the Department of Consumer and Business Services determines that a person‘s violation of any provision of ORS § 732.517 to 732.596 so impairs the financial condition of a domestic insurer as to threaten insolvency or makes the insurer’s further transaction of business hazardous to the insurer’s policyholders, creditors, shareholders or the public, the director may place the insurer under supervision or in rehabilitation or liquidation as provided in ORS Chapter 734.

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(2) If the director determines that a person’s violation of ORS § 732.521, 732.523, 732.526, 732.541 or 732.566 prevents the director from fully understanding the enterprise risk that an insurance holding company system or an affiliate of an insurer presents to the insurer, the director may, on the basis of the violation, disapprove a dividend or distribution and may place the insurer under supervision as provided in subsection (1) of this section.

(3) If the director places an insurer under supervision as provided in ORS Chapter 734 and the insurer engages in transactions within an insurance holding company system as provided in ORS § 732.574, the director retains authority over the insurer’s operations and over transactions in which the insurer engages within an insurance holding company system of which the insurer is a member. [1993 c.447 § 53; 2013 c.370 § 31; 2017 c.479 § 12]

[1983 c.498 § 18; 1993 c.447 § 36; renumbered 732.543 in 1993]