WASHINGTON STATE INSURANCE QUESTIONS AND
ANSWERS
Section 1 Commissioner
How is he elected? - Answers :Same way as other state officials
When does he take office? - Answers :Serves for four yerars. Starts wed after the
second monday of January
What must he do before taking officer? - Answers :Execute a bond of $25000 payable
to state
What are his broad Powers? - Answers :1) Responsible for examining insureres 2)
issueing licenses 3) regulatings to help carry out provisions of the WA insurance code
Commissioner has what authority? - Answers :The Commissioner has the authority to:
conduct
1) investigations (including formal hearings) to determine whether any person has
violated any provisions of the code;
2) conduct examinations, investigations, and hearings to efficiently administer the code;
3) take action against any insurance company, fraternal benefit society, health
maintenance organization (HMO), or heathcare service contractor (HCSC) by revoking
or suspending its Washington certificate of authority;
4) fine, revoke, or suspend the licenses of insurance agents, brokers, solicitors, or
adjusters;
5) issue cease and desist orders;
6)and bring actions in court regarding violations of the insurance code.
If there is cause to believe that anyone is violating the insurance code or any regulation
or order made by the Commissioner, the Commissioner may: - Answers :issue a cease
and desist order; bring an action in court to stop the person from continuing the
violation; or both.
How are actions prosecuted? - Answers :When requested by the Commissioner, the
state's attorney general and prosecuting attorneys throughout Washington prosecute or
defend all proceedings brought under the code.
,Can the commissioner appoint more commisioners amd staff? - Answers :The
Commissioner may appoint a Chief Deputy Commissioner, who has the power to
perform any act or duty conferred upon the Commissioner. The Commissioner may also
appoint additional Deputy Commissioners.The Commissioner is responsible for the
official acts of deputies and may revoke a deputy's appointment. The Commissioner
may employ examiners, as well as actuarial, technical, and administrative assistants as
needed.
Anyone who files a grievance must supply as many facts as possible to assist in the
investigation of the complaint, including: - Answers :the insurance company's name; the
policy or claim number; the name of the agent, broker, solicitor, or adjuster; the date of
the loss or the company's or other licensee's action; and a complete explanation of the
loss or other problem.
Does the commisioner produce tables and conntent? - Answers :Yes. The
Commissioner is also responsible for obtaining and publishing life expectancy tables,
annuity values, and values of life and term estates. The Commissioner must help
consumers obtain information about insurance products and resolve complaints
involving insurers and other licensees.
NEW SUB SECTION: Examination of Records - Answers :NEW SUB SECTION:
Examination of Records
Can the commisioner examine records whenever he or she pleases? - Answers :Yes.
The Commissioner may examine the transactions, accounts, records, documents, and
assets of each authorized insurer as often as considered necessary
When must the commisioner examine? - Answers :- each insurer holding a certificate of
authority at least once every five years;
- any managing general agent, if necessary, for the company exam; and
- each rating organization and examining bureau licensed in Washington at least once
every five years or as often as necessary.
Can the commisioner accept an examination report on a foriegn or allien insurer
licensed in Washington? - Answers :Yes. As long as prepared by the accredited
insurance department for the company's state of domicile.
What factors into who and how deep the examination goes? - Answers :the
Commissioner will consider matters such as the results of financial statement analyses,
changes in management or ownership, and actuarial opinions and reports of
independent certified public accountants.
Who is responsible for providing the commisioner with records during an examination. -
Answers :Every person, its officers, employees, and representatives must produce the
, accounts, records, documents, and files in his or her possession or control relating to
the subject of the examination and make them accessible to the Commissioner.
What happens if the records aren't up to snuff? - Answers :If the Commissioner finds the
accounts to be inadequate, or improperly kept or posted, he or she may employ experts
to rewrite, post or balance them at the expense of the person being examined.
In addition, the Commissioner may examine the records, accounts, documents, and
transactions of: - Answers :- any agent, solicitor, broker, or adjuster licensed in
Washington;
-anyone who has the exclusive or dominant right to manage or control a stock or mutual
insurer;
-anyone holding shares of capital stock of a domestic insurer to control its management
as a voting trustee or otherwise;
-and anyone engaged in the formation of a domestic insurer, insurance holding
corporation, or a stock corporation to finance a domestic insurer or the production of its
business, or a corporation to be attorney-in-fact for a domestic reciprocal insurer.
Can these reports and examinations be reviewed by the public? - Answers :Yes.
- Public insurance records must be indexed and available for public inspection and
copying during normal business hours.
-Requests for public records must be made to the public records officer in the
Commissioner's office.
-Anyone whose request to review public documents is denied may petition for a prompt
review of the decision
What are the exceptions to the request for these reports? - Answers :Requestors should
be aware of the following exemptions:
-Medical malpractice—closed claim reports
-Confidentiality of documents, materials, or other information
- Insurer's risk-based capital reports
-Insurance fraud
- Documents, materials, or information about insurer's transactions with affiliates
ANSWERS
Section 1 Commissioner
How is he elected? - Answers :Same way as other state officials
When does he take office? - Answers :Serves for four yerars. Starts wed after the
second monday of January
What must he do before taking officer? - Answers :Execute a bond of $25000 payable
to state
What are his broad Powers? - Answers :1) Responsible for examining insureres 2)
issueing licenses 3) regulatings to help carry out provisions of the WA insurance code
Commissioner has what authority? - Answers :The Commissioner has the authority to:
conduct
1) investigations (including formal hearings) to determine whether any person has
violated any provisions of the code;
2) conduct examinations, investigations, and hearings to efficiently administer the code;
3) take action against any insurance company, fraternal benefit society, health
maintenance organization (HMO), or heathcare service contractor (HCSC) by revoking
or suspending its Washington certificate of authority;
4) fine, revoke, or suspend the licenses of insurance agents, brokers, solicitors, or
adjusters;
5) issue cease and desist orders;
6)and bring actions in court regarding violations of the insurance code.
If there is cause to believe that anyone is violating the insurance code or any regulation
or order made by the Commissioner, the Commissioner may: - Answers :issue a cease
and desist order; bring an action in court to stop the person from continuing the
violation; or both.
How are actions prosecuted? - Answers :When requested by the Commissioner, the
state's attorney general and prosecuting attorneys throughout Washington prosecute or
defend all proceedings brought under the code.
,Can the commissioner appoint more commisioners amd staff? - Answers :The
Commissioner may appoint a Chief Deputy Commissioner, who has the power to
perform any act or duty conferred upon the Commissioner. The Commissioner may also
appoint additional Deputy Commissioners.The Commissioner is responsible for the
official acts of deputies and may revoke a deputy's appointment. The Commissioner
may employ examiners, as well as actuarial, technical, and administrative assistants as
needed.
Anyone who files a grievance must supply as many facts as possible to assist in the
investigation of the complaint, including: - Answers :the insurance company's name; the
policy or claim number; the name of the agent, broker, solicitor, or adjuster; the date of
the loss or the company's or other licensee's action; and a complete explanation of the
loss or other problem.
Does the commisioner produce tables and conntent? - Answers :Yes. The
Commissioner is also responsible for obtaining and publishing life expectancy tables,
annuity values, and values of life and term estates. The Commissioner must help
consumers obtain information about insurance products and resolve complaints
involving insurers and other licensees.
NEW SUB SECTION: Examination of Records - Answers :NEW SUB SECTION:
Examination of Records
Can the commisioner examine records whenever he or she pleases? - Answers :Yes.
The Commissioner may examine the transactions, accounts, records, documents, and
assets of each authorized insurer as often as considered necessary
When must the commisioner examine? - Answers :- each insurer holding a certificate of
authority at least once every five years;
- any managing general agent, if necessary, for the company exam; and
- each rating organization and examining bureau licensed in Washington at least once
every five years or as often as necessary.
Can the commisioner accept an examination report on a foriegn or allien insurer
licensed in Washington? - Answers :Yes. As long as prepared by the accredited
insurance department for the company's state of domicile.
What factors into who and how deep the examination goes? - Answers :the
Commissioner will consider matters such as the results of financial statement analyses,
changes in management or ownership, and actuarial opinions and reports of
independent certified public accountants.
Who is responsible for providing the commisioner with records during an examination. -
Answers :Every person, its officers, employees, and representatives must produce the
, accounts, records, documents, and files in his or her possession or control relating to
the subject of the examination and make them accessible to the Commissioner.
What happens if the records aren't up to snuff? - Answers :If the Commissioner finds the
accounts to be inadequate, or improperly kept or posted, he or she may employ experts
to rewrite, post or balance them at the expense of the person being examined.
In addition, the Commissioner may examine the records, accounts, documents, and
transactions of: - Answers :- any agent, solicitor, broker, or adjuster licensed in
Washington;
-anyone who has the exclusive or dominant right to manage or control a stock or mutual
insurer;
-anyone holding shares of capital stock of a domestic insurer to control its management
as a voting trustee or otherwise;
-and anyone engaged in the formation of a domestic insurer, insurance holding
corporation, or a stock corporation to finance a domestic insurer or the production of its
business, or a corporation to be attorney-in-fact for a domestic reciprocal insurer.
Can these reports and examinations be reviewed by the public? - Answers :Yes.
- Public insurance records must be indexed and available for public inspection and
copying during normal business hours.
-Requests for public records must be made to the public records officer in the
Commissioner's office.
-Anyone whose request to review public documents is denied may petition for a prompt
review of the decision
What are the exceptions to the request for these reports? - Answers :Requestors should
be aware of the following exemptions:
-Medical malpractice—closed claim reports
-Confidentiality of documents, materials, or other information
- Insurer's risk-based capital reports
-Insurance fraud
- Documents, materials, or information about insurer's transactions with affiliates
