§ 1504. Reporting; examination; publication. (a) (1) Every controlled
insurer shall file with the superintendent such reports or material as
the superintendent may direct for the purpose of disclosing information
concerning the operations of persons within the holding company system
that may materially affect the operations, management or financial
condition of the insurer.

(2) To determine compliance with this article, the superintendent may
order any controlled insurer to produce information not in the insurer's
possession if the insurer can obtain access to the information pursuant
to contractual relationships, statutory obligations, or other method. In
the event the insurer cannot obtain the information requested by the
superintendent, the insurer shall provide the superintendent a detailed
explanation of the reason that the insurer cannot obtain the information
and the identity of the holder of information. Whenever it appears to
the superintendent that the detailed explanation is without merit, in
addition to any other penalty provided by law, the superintendent, after
notice and an opportunity to be heard, may levy a penalty against the
insurer not to exceed five hundred dollars per day for each day beyond
the date specified by the superintendent for response.

(b) Every holding company and every controlled person within a holding
company system shall be subject to examination by order of the
superintendent if the superintendent has cause to believe that the
operations of such persons may materially affect the operations,
management or financial condition of any controlled insurer within the
system, including by posing enterprise risk to the insurer, and that the
superintendent is unable to obtain relevant information from such
controlled insurer. The grounds relied upon by the superintendent for
such examination shall be stated in the superintendent's order. Such
examination shall be confined to matters specified in the order. The
cost of such examination shall be assessed against the person examined
and no portion thereof shall thereafter be reimbursed to it directly or
indirectly by the controlled insurer.

(c) (1) The contents of each report and filing made pursuant to this
article and any information obtained in connection therewith shall be
confidential and proprietary and shall not be subject to subpoena or
discovery or admissible in evidence in any private civil action, and the
superintendent shall not make the same public without the prior written
consent of the controlled insurer to which it pertains unless the
superintendent, after notice and an opportunity to be heard, shall
determine that the interests of policyholders, shareholders or the
public will be served by the publication thereof. In any action or
proceeding by the superintendent against the person examined or any
other person within the same holding company system a report of such
examination published by the superintendent shall be admissible as
evidence of the facts stated therein.

(2) Neither the superintendent nor any person who received a report or
filing made pursuant to this article and any information obtained in
connection therewith, through examination or otherwise, while acting
under the authority of the superintendent or with whom such report,
filing, or information are shared pursuant to this chapter, shall be
permitted or required to testify in any private civil action concerning
the report, filing, or information.