2006 Louisiana Laws - RS 22:1304 — Review and examination expense; how paid

§1304.  Review and examination expense; how paid

A.  Whenever the commissioner of insurance examines an insurer, or a third-party administrator for an insurer or self-insurance fund, other than a group self-insured fund provided for in R.S. 23:1195 et seq., all the expenses incurred by the commissioner of insurance in conducting such examination, including the expenses and fees of examiners, auditors, accountants, actuaries, attorneys, or clerical or other assistants who are employed by the commissioner of insurance to make the examination, shall be paid by the insurer or self-insurance fund examined.  The commissioner shall likewise be entitled to recover from each reviewed insurer or self-insurance fund, the actual expenses incurred in conducting its annual office review.  All funds so generated and collected shall be used only to defray the expenses of reviews and examinations and for no other purpose.

B.  With respect to insurers, excluding self-insurance funds possessing less than one million dollars capital and surplus at the time of the examination, the commissioner of insurance shall, if requested by the insurer, conduct an administrative hearing pursuant to R.S. 22:1351 et seq. within fifteen days after the expenses and fees, excluding the costs of the actuarial certification of reserves, to be paid by the insurer total two thousand dollars.  At the hearing it shall be determined whether the amount of expenses billed to the insurer are reasonable and it shall be determined whether the examination should continue.  Nothing in this Subsection shall prevent an insurer from contesting the amount of expenses as provided in R.S. 22:1306.

C.  The commissioner of insurance may recover all expenses incurred from the examination or investigation of any person or entity acting as an administrator or third-party administrator in this state for any insurer or self-insurance fund not authorized to transact the business of insurance in this state.

Acts 1958, No. 125; Acts 1990, No. 259, §1; Acts 1997, No. 1449, §1; Acts 2001, No. 488, §1.