(1) The director or any of his or her examiners may conduct an examination under the Insurers Examination Act of any company as often as the director in his or her sole discretion deems appropriate but shall at a minimum conduct an examination of every insurer authorized to transact business in this state not less frequently than once every five years for every foreign or alien insurer except as provided in subsection
(3) of this section and once every four years for every domestic insurer. In scheduling and determining the nature, scope, and frequency of the examination of a company, the director shall consider such matters as the results of financial statement analyses and ratios, changes in the company's management or ownership, actuarial opinions, reports of independent certified public accountants, the company's ability to meet and fulfill its obligations, the company's compliance with provisions of law, other facts relating to the company's business methods, the company's management and its dealings with its policyholders, and other criteria as set forth in the Examiners' Handbook adopted by the National Association of Insurance Commissioners and in effect when the director conducts an examination under this section.
(2) For purposes of completing an examination of any company under the act, the director may examine or investigate any person, or the business of any person, in so far as such examination or investigation is, in the sole discretion of the director, necessary or material to the examination of the company.
(3)(a) Prior to January 1, 1994, the director may accept an examination report conducted on a foreign or alien company authorized to transact business in this state as prepared by the insurance department of the company's state of domicile or port-of-entry state in lieu of an examination under the act. (b) On and after January 1, 1994, the director may accept an examination report conducted on a foreign or alien company licensed in this state only if: (i) The examination is conducted by the insurance department of the company's state of domicile or port-of-entry state and such insurance department is at the time of the examination an accredited insurance department; or (ii) The examination is conducted (A) under the supervision of an accredited insurance department or (B) with the participation of one or more examiners who are employed by an accredited insurance department and who, after a review of the examination workpapers and report, state under oath that the examination was conducted in a manner consistent with the standards and procedures required by his, her, or their insurance department. (c) For purposes of this subsection, accredited insurance department shall mean a state insurance department which is accredited under the Financial Regulation Standards and Accreditation Program of the National Association of Insurance Commissioners.