(a) The director may exempt from the application of this chapter a domestic property and casualty insurer that

1. (1) writes direct business only in this state;
2. (2) writes direct annual premiums of $2,000,000 or less; and
3. (3) does not assume reinsurance in excess of five percent of direct premiums written.

(b) The director may exempt from the application of this chapter a domestic health organization that

1. (1) writes direct business only in this state;

2. (2) does not assume reinsurance in excess of five percent of direct premiums written and

   1. (A) writes direct annual premiums for comprehensive medical care of $2,000,000 or less; or
   2. (B) is a limited health service organization that covers less than 2,000 lives.