§431:10C-215  Inspection and audit. (a)  In addition to the right and duty of examination under article 2, thecommissioner shall have the right and the duty of visitation, inspection andaudit of all business records, including internal memoranda, audits andcorrespondence related in any way to the insurer's motor vehicle insurancebusiness in this State.

(b)  The commissioner shall, in thecommissioner's discretion, cause an audit to be made of all or any segment ofthe motor vehicle insurance books and business records of any insurer by thestaff of the division or by an independent contract examiner.  A copy of everyaudit, internal or external, performed by any insurer of any aspect of itsmotor vehicle books and business records shall be submitted immediately uponcompletion to the commissioner.

(c)  The commissioner shall assess and collectfrom each insurer, self-insurer, and from every applicant for a certificate ofself-insurance or a license to transact a motor vehicle insurance and optionaladditional insurance business in this State, such portion of the full cost ofevery audit, inspection, examination, visitation, and other services related tomotor vehicle insurance required by this or any other article, or performed bythe commissioner in the commissioner's discretion under this article or thiscode, as the commissioner deems equitable in the rendering of the service. Assessments collected shall be paid into the compliance resolution fund.

(d)  (1)  Each insurer licensed to transact motor vehicleinsurance or optional additional insurance business in this State shall providethe commissioner with periodic reports on every aspect of the motor vehicleinsurance and the optional additional insurance business the insurer transactsin the State, including, but not limited to, reports on the investment,reserve, reinsurance, loss and profit experience, ratemaking and schedules,claims received and paid; and

(2)  Each insurer shall, not less frequently thanquarterly, report to the commissioner the details of each claim received, claimpaid, application for and sale of a motor vehicle insurance policy, eachtermination and renewal refusal notice posted, and each cancellation andrefusal to renew effected on both motor vehicle insurance and optional additionalinsurance policy transactions.

(e)  Any insurer failing to report informationin the manner and within the time required by the commissioner, or failingfully to cooperate with the commissioner and the commissioner's staff in thefulfillment of their duties under this article and this code shall be subjectto the penalty provided in section 431:14-117. [L 1987, c 347, pt of §2; am L1997, c 251, §37; am L 1998, c 275, §15; am L 2003, c 212, §84]