1. (a) Any person transacting a business of insurance who participates in the investigation, adjustment, negotiation, or settlement of a claim under any type of insurance must document each action taken on a claim. The documentation must contain all notes, work papers, documents and similar material. The documentation must be in sufficient detail that relevant events, the dates of those events, and all persons participating in those events can be identified. The documentation may include legible copies of originals and may be stored in the form of microfilm or electronic media. The documentation is subject to examination and copying by the director or persons acting on the director's behalf.
2. (b) A person transacting a business of insurance who participates in the investigation, adjustment, negotiation, or settlement of a claim under any type of insurance shall respond to inquiries from the director related to the claim not later than 10 days from the date of the director's inquiry. The response must include all documentation within the person's possession, custody, or control, or in the possession, custody, or control of other persons or entities acting on behalf of that person in relation to the claim, that is responsive to the director's inquiry.
3. (c) The director may assess a penalty under AS 21.36.910 of not more than $2,500 for each violation or $25,000 for engaging in a general business practice that violates (b) of this section.

(Eff. 5/6/89, Register 110; am 6/6/2015, Register 214)

Authority: AS 21.06.090, AS 21.36.090, AS 21.36.910, AS 21.06.120, AS 21.36.125, AS 21.06.130, AS 21.36.410