§311.  Suspension, revocation or refusal of license of foreign or alien society

A.(1)  The commissioner of insurance shall notify in writing a foreign or alien society transacting or applying to transact business in this state of a deficiency and of the need to correct the deficiency when the society has done one of the following:

(a)  Exceeded its powers.

(b)  Failed to comply with any of the provisions of this Subpart.

(c)  Failed to fulfill its contracts in good faith.

(d)  Conducted its business fraudulently or in a manner hazardous to its members, creditors, or the public.

(2)  After such notice the society shall have a thirty day period in which to comply with the commissioner's request for correction.  If the society fails to comply, the commissioner shall notify the society of such findings of noncompliance and require the society to show cause why its license should not be suspended, revoked, or refused.

B.  If on such date the society does not present good and sufficient reason why its authority to do business in this state should not be suspended, revoked, or refused, the commissioner may suspend or refuse the license of the society to do business in this state until satisfactory evidence is furnished to the commissioner that such suspension or refusal should be withdrawn or the commissioner may revoke the authority of the society to do business in this state.

C.  Nothing contained in this Section shall be taken or construed as preventing any such society from continuing in good faith all contracts made in this state during the time such society was legally authorized to transact business herein.

Acts 1958, No. 125.  Acts 1987, No. 470, §1, eff. Jan. 1, 1988; Redesignated from R.S. 22:571 by Acts 2008, No. 415, §1, eff. Jan. 1, 2009.