No examiner may be appointed by the director if the examiner, either directly or indirectly, has a conflict of interest or is affiliated with the management of or owns a pecuniary interest in any person subject to examination under this chapter. This section may not be construed to automatically preclude an examiner from being:

1. (1) A policyholder or claimant under an insurance policy;
2. (2) A grantor of a mortgage or similar instrument on the examiner's residence to a regulated entity if done under customary terms and in the ordinary course of business;
3. (3) An investment owner in shares of regulated diversified investment companies; or
4. (4) A settlor or beneficiary of a "blind trust" into which any otherwise impermissible holdings have been placed.

Source: SL 1992, ch 338 , § 16.