58-5A-38. Grounds for director's examination.

The director shall exercise his power under § 58-5A-37 only if the examination of the insurer under the provisions of this title is inadequate or the interests of the policyholders of such insurer may be adversely affected.

Source: SL 1972, ch 267, § 32.



SDLRC - Codified Law 58-5A-38 - Grounds for director's examination.

58-5A-38.1. Production of records, books, and other information.

The director may order any registered insurer to produce records, books, or other information papers in the possession of the insurer or the insurer's affiliates as are reasonably necessary to determine compliance with the provisions of this chapter. The director may order any registered insurer to produce information not in the possession of the insurer if the insurer is able to obtain access to the information pursuant to contractual relationships, statutory obligations, or other method. If the insurer is unable to obtain the information requested by the director, the insurer shall provide the director a detailed explanation of the reason the insurer is unable to obtain the information and the identity of the holder of the information. If an insurer's detailed explanation is found to be without merit, it is grounds for the revocation of the insurer's license at a hearing held pursuant to chapter 1-26.

Source: SL 2015, ch 246, § 13.



SDLRC - Codified Law 58-5A-38 - Grounds for director's examination.

58-5A-38.2. Examination of registered insurer's affiliates to obtain information.

If the insurer fails to comply with an order made pursuant to § 58-5A-38.1, the director may examine the registered insurer's affiliates to obtain the information. The director may issue subpoenas, administer oaths, and examine under oath any person for purposes of determining compliance with the provisions of §§ 58-5A-37 to 58-5A-40, inclusive. Each person is obliged to attend as a witness at the place specified in the subpoena, if the witness is subpoenaed within this state. The witness is entitled to the same fees and mileage, if claimed, as a witness in appearing in any state court and the fees shall be itemized and paid by the insurer being examined.

Source: SL 2015, ch 246, § 14.