Sec. 38a-17. (Formerly Sec. 38-8). Authority of commissioner when business is being conducted improperly.
Sec. 38a-17. (Formerly Sec. 38-8). Authority of commissioner when business
is being conducted improperly. If, in the opinion of the commissioner, any insurance
company, fraternal benefit society, health care center or residual market mechanism is
doing business in an illegal or improper manner or is failing to adjust and pay losses
and obligations when they become due, except claims to which in the judgment of the
commissioner there is a substantial defense, he may order it to discontinue such illegal
or improper method of doing business and may order it to adjust and pay its losses and
obligations as they become due.
(1949 Rev., S. 6031; P.A. 92-60 S. 1.)
History: Sec. 38-8 transferred to Sec. 38a-17 in 1991; P.A. 92-60 applied provisions of section to fraternal benefit
societies, health care centers and residual market mechanisms.
Annotation to former section 38-8:
Commissioner may inquire into reasons why company denies liability on policy. 86 C. 556.