§ 22:691.8 — Examination

Louisiana § 22:691.8

• Jurisdiction: Louisiana
• Title 22: Insurance

Text

§691.8. Examination
A. Power of commissioner. Subject to the limitation contained in this Section and
in addition to the powers which the commissioner has under this Code relating to the
examination of insurers, the commissioner shall have the power to examine any insurer
registered under R.S. 22:691.6 and its affiliates to ascertain the financial condition of the
insurer, including the enterprise risk to the insurer by the ultimate controlling party, or by any
entity or combination of entities within the insurance holding company system, or by the
insurance holding company system on a consolidated basis.
B. Access to books and records.
(1) The commissioner may order any insurer registered under R.S. 22:691.6 to
produce such records, books, or other information papers in the possession of the insurer or
its affiliates as are reasonably necessary to determine compliance with this Subpart.
(2) To determine compliance with this Subpart, the commissioner may order any
insurer registered under R.S. 22:691.6 to produce information not in the possession of the
insurer if the insurer can obtain access to such information pursuant to contractual
relationships, statutory obligations, or other method. In the event the insurer cannot obtain
the information requested by the commissioner, the insurer shall provide the commissioner
a detailed explanation of the reason that the insurer cannot obtain the information and the
identity of the holder of information. If at the discretion of the commissioner, it appears that
the detailed explanation is without merit, the commissioner may require the insurer to pay
a penalty of one hundred dollars for each day's delay or may suspend or revoke the insurer's
authority. An aggrieved party affected by the commissioner's decision, act, or order may
seek judicial review of the decision pursuant to R.S. 22:691.17.
C. Use of consultants. The commissioner may retain at the registered insurer's
expense such attorneys, actuaries, accountants, and other experts not otherwise a part of the
commissioner's staff as shall be reasonably necessary to assist in the conduct of the
examination under Subsection A of this Section. Any persons so retained shall be under the
direction and control of the commissioner and shall act in a purely advisory capacity.
D. Expenses. Each registered insurer producing for examination records, books, and
papers pursuant to Subsection A of this Section shall be liable for and shall pay the expense
of examination in accordance with R.S. 22:1985 through 1988.
E. Compelling production. In the event the insurer fails to comply with an order, the
commissioner shall have the power to examine the affiliates to obtain the information. The
commissioner shall also have the power to issue subpoenas, to administer oaths, and to
examine under oath any person for purposes of determining compliance with this Section.
Upon the failure or refusal of any person to obey a subpoena, the commissioner may petition
a court of competent jurisdiction, and upon proper showing, the court may issue an order
compelling the witness to appear and testify or produce documentary evidence. Failure to
obey the court order shall be punishable as contempt of court. Every person shall be obliged
to attend as a witness at the place specified in the subpoena, when subpoenaed, anywhere
within the state. Such persons shall be entitled to the same fees and mileage, if claimed, as
a witness in R.S. 13:3661, which fees, mileage, and actual expense, if any, necessarily
incurred in securing the attendance of witnesses, and their testimony, shall be itemized and
charged against, and be paid by, the company being examined.

Legislative History

Acts 2012, No. 294, §1; Acts 2022, No. 185, §1.