§431:8-314  Surplus lines advisory
organizations.  (a)  An advisory surplus lines organization of surplus
lines brokers may be formed to:



(1)  Facilitate and encourage compliance by its
members with the laws of this State and the rules and regulations of the
commissioner relative to surplus lines insurance;



(2)  Provide means for the examination, which shall
remain confidential, of all surplus lines coverage written by its members to
determine whether such coverages comply with such laws and regulations;



(3)  Communicate with organizations of admitted
insurers with respect to the proper use of the surplus lines market; and



(4)  Receive and disseminate to its members
information relative to surplus lines coverages.



(b)  Every such advisory organization shall
file with the commissioner:



(1)  A copy of its constitution, its articles of
agreement or association or its certificate of incorporation;



(2)  A copy of its bylaws, rules and regulations
governing its activities;



(3)  A current list of its members;



(4)  The name and address of its authorized resident
agent upon whom notices or orders of the commissioner or processes issued at
the commissioner's direction may be served, and



(5)  An agreement that the commissioner may examine
such advisory organization in accordance with the provisions of subsection (c).



(c)  The commissioner shall, at least once in
every five years, make or cause to be made an examination of each such advisory
organization.  The reasonable cost of any such examination shall be paid by the
advisory organization upon presentation to it by the commissioner of a detailed
account of each cost.  The officers, managers, agents, and employees of such
advisory organization may be examined at any time, under oath, and shall
exhibit all books, records, accounts, documents, or agreements governing its
method of operation.  The commissioner shall furnish two copies of the
examination report to the advisory organization examined and shall notify such
organization that it may, within twenty days thereof, request a hearing on the
report or on any facts or recommendations therein.  If the commissioner finds
such advisory organization or any of its members to be in violation of this
part, the commissioner may issue an order requiring the discontinuance of such
violation. [L 1987, c 347, pt of §2]