TITLE 41

INSURANCE

CHAPTER 3

AUTHORIZATION OF INSURERS AND GENERAL REQUIREMENTS

41-326.  Suspension or revocation of certificate of authority — Mandatory grounds. (1) The director shall refuse to continue, or shall suspend or revoke, an insurer’s certificate of authority:

(a)  If such action is required by any provision of this code; or

(b)  If a foreign insurer, it no longer meets the requirements for the authority, on account of deficiency of assets or otherwise; or if a domestic insurer, it has failed to cure an impairment of capital or surplus within the time allowed therefor by the director under this code; or

(c)  If the insurer knowingly exceeds its charter powers or powers granted under its certificate of authority; or

(d)  If the insurer’s certificate of authority to transact insurance therein is suspended or revoked by its state of domicile, or state of entry into the United States if an alien insurer.

(2)  Except in cases of insolvency or impairment of required capital or surplus, or suspension or revocation by another state as referred to in subdivision (d) above, the director shall so refuse, suspend, or revoke the certificate of authority only after a hearing granted to the insurer thereon, unless the insurer waives such hearing in writing.

History:

[41-326, added 1961, ch. 330, sec. 89, p. 645.]