§431:19-108  Examinations, investigations,

and financial surveillance.  (a)  The commissioner or any authorized

examiner may conduct an examination, investigation, or financial surveillance

of any captive insurance company as often as the commissioner deems

appropriate; provided that, unless the commissioner requires otherwise:

     (1)  An examination shall be conducted at least once

every five years for all captive insurance companies, except as provided in

paragraph (2); and

     (2)  An examination of a risk retention captive

insurance company shall be conducted no later than three years after its

formation and at least once every five years thereafter.

     The commissioner or any authorized examiner

shall thoroughly inspect and examine the captive insurance company's affairs to

ascertain its financial condition, its ability to fulfill its obligations, and

whether it has complied with this article.

     (b)  The powers, authorities, and duties

relating to examinations vested in and imposed upon the commissioner under section

431:2-301 through section 431:2-307.5 of the code are extended to and imposed

upon the commissioner in respect to examinations of captive insurance

companies.

     (c)  All examination reports, preliminary

examination reports or results, working papers, recorded information,

documents, and copies thereof produced by, obtained by, or disclosed to the

commissioner or any person in the course of an examination made under this

section are confidential and are not subject to subpoena and may not be made

public by the commissioner or an employee or agent of the commissioner without

the written consent of the company, except to the extent provided in this

subsection.  Nothing in this subsection shall prevent the commissioner from

using information in furtherance of the commissioner's regulatory authority

under this title.  The commissioner may grant access to the information to

public officers having jurisdiction over the regulation of insurance in any

other state or country, or to law enforcement officers of this State or any

other state or agency of the federal government at any time, so long as the

officers receiving the information agree in writing to hold it in a manner

consistent with this section.

     (d)  Each branch captive insurance company

shall file annually with the commissioner a certificate of compliance issued by

the insurance regulatory authority of the jurisdiction in which the outside

captive insurance company of the branch captive insurance company is domiciled

along with certified copies of any examination reports conducted of the outside

captive insurance company by its domiciliary insurance regulator during the

preceding calendar year.  These filings shall be made with the commissioner by

March 1 of each year.  So long as the branch captive insurance company complies

with the requirements of this subsection, and unless otherwise deemed necessary

by the commissioner, any examination of the branch captive insurance company

under this subsection shall be only with respect to the business underwritten by

the branch captive insurance company in this State.  If necessary, however, the

commissioner may examine the outside captive insurance company of any branch

captive insurance company licensed under this article. [L 1987, c 347, pt of

§2; am L 1989, c 195, §41; am L 1996, c 248, §2; am L 1999, c 7, §1 and c 163,

§13; am L 2000, c 133, §6; am L 2005, c 31, §6; am L 2008, c 190, §6; am L

2010, c 7, §1; am L 2012, c 253, §14]