ADMINISTRATIVE SUPERVISION AND HAZARDOUS FINANCIAL CONDITIONS OF INSURITIES
Section 1. As used in this chapter the following words shall, unless the context clearly requires otherwise, have the following meanings:—
“Insurer”, includes every entity or person licensed, authorized or permitted by the commissioner to transact the business of insurance in the commonwealth, and for which the commissioner is granted authority to conduct an examination into its affairs; provided, however, that nonprofit hospital and medical service corporations under chapters one hundred and seventy-six A and one hundred and seventy-six B, medical service corporations under chapter one hundred and seventy-six C, dental service corporations under chapter one hundred and seventy-six E, optometric service corporations under chapter one hundred and seventy-six F, health maintenance organizations under chapter one hundred and seventy-six G, and preferred provider organizations under chapter one hundred and seventy-six I, shall not be construed to be “insurers” except for the limited purpose of administrative supervision under the provisions of chapter one hundred and seventy-five J.
“Exceeded its powers”, one or more of the following conditions:
(1) the insurer has refused to permit examination of its books, papers, accounts, records or affairs by the commissioner, his deputies, employees or duly commissioned examiners;
(2) a domestic insurer has unlawfully removed from the commonwealth books, papers, accounts or records necessary for an examination of the insurer;
(3) the insurer has failed to promptly comply with the applicable financial reporting statutes or regulations and lawful division requests relating thereto;
(4) the insurer has neglected or refused to observe an order of the commissioner to make good, within the time prescribed by law, any prohibited deficiency in its capital, capital stock or surplus;
(5) the insurer is continuing to transact insurance or write business after its license has been revoked or suspended by the commissioner;
(6) the insurer, by contract or otherwise, has unlawfully or has in violation of an order of the commissioner or has without first having obtained written approval of the commissioner if approval is required by law: (i) totally reinsured its entire outstanding business; or (ii) merged or consolidated substantially its entire property or business with another insurer;
(7) the insurer engaged in any transaction in which it is not authorized or permitted to engage under the laws of this chapter, chapter one hundred and seventy-five, chapter one hundred and seventy-six D or any other applicable provision of the General Laws; or
(8) the insurer refused to comply with a lawful order of the commissioner.
“Consent”, an agreement to administrative supervision by the insurer.