1. A. The license of a captive insurance company to conduct an insurance business in this state may be suspended or revoked by the Insurance Commissioner for:

   1. 1. Insolvency or impairment of capital or surplus;
   2. 2. Failure to meet the requirements of Sections 13 and 15 of this act;
   3. 3. Refusal or failure to submit an annual report, as required by Section 18 of this act, or any other report or statement required by law or by lawful order of the Insurance Commissioner;
   4. 4. Failure to comply with its own charter, bylaws, or other organizational document;
   5. 5. Failure to submit to examination or any legal obligation relative to an examination, as required by this section;
   6. 6. Refusal or failure to pay the cost of examination;
   7. 7. Use of methods that, although not otherwise specifically prohibited by law, nevertheless render its operation detrimental or its condition unsound with respect to the public or to its policyholders; or
   8. 8. Failure otherwise to comply with laws of this state.
2. B. If the Insurance Commissioner finds, upon examination, hearing, or other evidence, that a captive insurance company has committed any of the acts specified in subsection A of this section, the Insurance Commissioner may suspend or revoke such license if the Insurance Commissioner considers it in the best interest of the public and the policyholders of the captive insurance company.

Added by Laws 2004, HB 2141, c. 334, § 21, emerg. eff. May 25, 2004.