Idaho State Statutes - Idaho Attorney Directory

(1) For the purpose of determining its
financial condition, ability to fulfill and manner of fulfillment of its
obligations, the nature of its operations, and compliance with the law, the
director shall examine the affairs, transactions, accounts, records, and
assets of each authorized insurer, including the attorney in fact of a
reciprocal insurer in so far as insurer transactions are concerned, as often
as he deems advisable. The director or any of the director's examiners may
conduct an examination, in accordance with the provisions of this section, of
any company as often as the director in his sole discretion deems appropriate
but shall, at a minimum, conduct an examination of every insurer licensed in
this state not less frequently than once every five (5) years. In scheduling
and determining the nature, scope and frequency of the examinations, the
director shall consider such matters as the results of financial statement
analyses and ratios, changes in management or ownership, actuarial opinions,
reports of independent certified public accountants and other criteria as set
forth in the examiners' handbook adopted by the national association of
insurance commissioners and in effect when the director exercises discretion
under the provisions of this section.
(2) Examination of an alien insurer shall be limited to its insurance
transactions, assets, trust deposits and affairs in the United States except
as otherwise required by the director.
(3) The director shall in like manner examine each insurer applying for
an initial certificate of authority to transact insurance in this state.
(4) In lieu of an examination under the provisions of this section, of
any foreign or alien insurer licensed in this state, the director may accept
an examination report on the company as prepared by the insurance department
for the company's state of domicile or port of entry until January 1, 1994.
Thereafter, such reports may only be accepted if the insurance department was
at the time of the examination accredited under the national association of
insurance commissioners' financial regulation standards and accreditation
program or, the examination is performed under the supervision of an
accredited insurance department or with participation of one (1) or more
examiners who are employed by such an accredited state insurance department
and who, after a review of the examination work papers and report, state under
oath that the examination was performed in a manner consistent with the
standards and procedures required by their insurance department.
(5) The term "company" as used in this section shall mean any person
engaging in or proposing or attempting to engage in any transaction or kind of
insurance or surety business and any person or group of persons who may
otherwise be subject to the administrative, regulatory or taxing authority of
the director.

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