§58‑49‑65. Denial, suspension, or revocation of license.
(a) The Commissionershall deny, suspend, or revoke a MEWA's license if the Commissioner finds thatthe MEWA:
(1) Is insolvent;
(2) Is using suchmethods and practices in the conduct of its business as to render its furthertransaction of business in this State hazardous or injurious to itsparticipating employers, covered employees and dependents, or to the public;
(3) Has failed to payany final judgment rendered against it in a court of competent jurisdictionwithin 60 days after the judgment became final;
(4) Is or has been inviolation of or threatens to violate any provision of this Article;
(5) Is no longeractuarially sound; or
(6) Is charging ratesthat are excessive, inadequate, or unfairly discriminatory.
(b) The Commissionermay deny, suspend, or revoke the license of any MEWA if the Commissionerdetermines that the MEWA:
(1) Has violated anylawful order or rule of the Commissioner; or any applicable provision of thisArticle; or
(2) Has refused toproduce its accounts, records, or files for examination under G.S. 58‑49‑55or through any of its officers has refused to give information with respect toits affairs or to perform any other legal obligation as to an examination.
(c) Whenever thefinancial condition of the MEWA is such that, if not modified or corrected, itscontinued operation would result in impairment or insolvency, in addition toany provisions in Article 30 of this Chapter, the Commissioner may order theMEWA to file with the Commissioner and implement a corrective action plandesigned to do one or more of the following:
(1) Reduce the totalamount of present potential liability for benefits by reinsurance or othermeans.
(2) Reduce the volume ofnew business being accepted.
(3) Reduce the expensesof the MEWA by specified methods.
(4) Suspend or limit thewriting of new business for a period of time.
If the MEWA fails to submit aplan within the time specified by the Commissioner or submits a plan that isinsufficient to correct the MEWA's financial condition, the Commissioner mayorder the MEWA to implement one or more of the corrective actions listed inthis subsection.
(d) The Commissionershall, in the order suspending the authority of a MEWA to enroll new insureds,specify the period during which the suspension is to be in effect and theconditions, if any, that must be met prior to reinstatement of its authority toenroll new insureds. The order of suspension is subject to rescission ormodification by further order of the Commissioner before the expiration of thesuspension period. Reinstatement shall not be made unless requested by theMEWA; however, the Commissioner shall not grant reinstatement if it is foundthat the circumstances for which suspension occurred still exist. (1991,c. 611, s. 1.)
§58‑49‑65. Denial, suspension, or revocation of license.
(a) The Commissionershall deny, suspend, or revoke a MEWA's license if the Commissioner finds thatthe MEWA:
(1) Is insolvent;
(2) Is using suchmethods and practices in the conduct of its business as to render its furthertransaction of business in this State hazardous or injurious to itsparticipating employers, covered employees and dependents, or to the public;
(3) Has failed to payany final judgment rendered against it in a court of competent jurisdictionwithin 60 days after the judgment became final;
(4) Is or has been inviolation of or threatens to violate any provision of this Article;
(5) Is no longeractuarially sound; or
(6) Is charging ratesthat are excessive, inadequate, or unfairly discriminatory.
(b) The Commissionermay deny, suspend, or revoke the license of any MEWA if the Commissionerdetermines that the MEWA:
(1) Has violated anylawful order or rule of the Commissioner; or any applicable provision of thisArticle; or
(2) Has refused toproduce its accounts, records, or files for examination under G.S. 58‑49‑55or through any of its officers has refused to give information with respect toits affairs or to perform any other legal obligation as to an examination.
(c) Whenever thefinancial condition of the MEWA is such that, if not modified or corrected, itscontinued operation would result in impairment or insolvency, in addition toany provisions in Article 30 of this Chapter, the Commissioner may order theMEWA to file with the Commissioner and implement a corrective action plandesigned to do one or more of the following:
(1) Reduce the totalamount of present potential liability for benefits by reinsurance or othermeans.
(2) Reduce the volume ofnew business being accepted.
(3) Reduce the expensesof the MEWA by specified methods.
(4) Suspend or limit thewriting of new business for a period of time.
If the MEWA fails to submit aplan within the time specified by the Commissioner or submits a plan that isinsufficient to correct the MEWA's financial condition, the Commissioner mayorder the MEWA to implement one or more of the corrective actions listed inthis subsection.
(d) The Commissionershall, in the order suspending the authority of a MEWA to enroll new insureds,specify the period during which the suspension is to be in effect and theconditions, if any, that must be met prior to reinstatement of its authority toenroll new insureds. The order of suspension is subject to rescission ormodification by further order of the Commissioner before the expiration of thesuspension period. Reinstatement shall not be made unless requested by theMEWA; however, the Commissioner shall not grant reinstatement if it is foundthat the circumstances for which suspension occurred still exist. (1991,c. 611, s. 1.)
§58‑49‑65. Denial, suspension, or revocation of license.
(a) The Commissionershall deny, suspend, or revoke a MEWA's license if the Commissioner finds thatthe MEWA:
(1) Is insolvent;
(2) Is using suchmethods and practices in the conduct of its business as to render its furthertransaction of business in this State hazardous or injurious to itsparticipating employers, covered employees and dependents, or to the public;
(3) Has failed to payany final judgment rendered against it in a court of competent jurisdictionwithin 60 days after the judgment became final;
(4) Is or has been inviolation of or threatens to violate any provision of this Article;
(5) Is no longeractuarially sound; or
(6) Is charging ratesthat are excessive, inadequate, or unfairly discriminatory.
(b) The Commissionermay deny, suspend, or revoke the license of any MEWA if the Commissionerdetermines that the MEWA:
(1) Has violated anylawful order or rule of the Commissioner; or any applicable provision of thisArticle; or
(2) Has refused toproduce its accounts, records, or files for examination under G.S. 58‑49‑55or through any of its officers has refused to give information with respect toits affairs or to perform any other legal obligation as to an examination.
(c) Whenever thefinancial condition of the MEWA is such that, if not modified or corrected, itscontinued operation would result in impairment or insolvency, in addition toany provisions in Article 30 of this Chapter, the Commissioner may order theMEWA to file with the Commissioner and implement a corrective action plandesigned to do one or more of the following:
(1) Reduce the totalamount of present potential liability for benefits by reinsurance or othermeans.
(2) Reduce the volume ofnew business being accepted.
(3) Reduce the expensesof the MEWA by specified methods.
(4) Suspend or limit thewriting of new business for a period of time.
If the MEWA fails to submit aplan within the time specified by the Commissioner or submits a plan that isinsufficient to correct the MEWA's financial condition, the Commissioner mayorder the MEWA to implement one or more of the corrective actions listed inthis subsection.
(d) The Commissionershall, in the order suspending the authority of a MEWA to enroll new insureds,specify the period during which the suspension is to be in effect and theconditions, if any, that must be met prior to reinstatement of its authority toenroll new insureds. The order of suspension is subject to rescission ormodification by further order of the Commissioner before the expiration of thesuspension period. Reinstatement shall not be made unless requested by theMEWA; however, the Commissioner shall not grant reinstatement if it is foundthat the circumstances for which suspension occurred still exist. (1991,c. 611, s. 1.)
