{"data":{"id":"us-dc/d.c.-code-31-3931.14","jurisdiction":"us-dc","citation":"D.C. Code § 31-3931.14","heading":"Financial examination.","body":"(a)\nThe Commissioner, or his designee, may visit each captive insurer at such times as he or she considers necessary to thoroughly inspect and examine the affairs of the captive insurer or protected cell of a captive insurer to ascertain:\n(1)\nThe financial condition of the captive insurer;\n(2)\nThe ability of the captive insurer to fulfill its obligations; and\n(3)\nWhether the captive insurer has complied with the provisions of this chapter and the regulations adopted pursuant thereto.\n\n(b)\nThe Commissioner may require a captive insurer to retain qualified independent legal, financial, and examination services from outside the Department to conduct the examination and make recommendations to the Commissioner. The cost of the examination shall be paid by the captive insurer.\n\n(c)\nChapter 14 of this title [§ 31-1401 et seq.] shall apply to examinations conducted pursuant to this section. The Commissioner may waive the requirement in § 13-1402(a) that a captive insurer must be examined at least once every 5 years, if the:\n(1)\nCaptive insurer has filed unqualified audited financial statements each year since the captive insurer's last financial examination or the date of licensure;\n(2)\nCommissioner determines that the audited financial statements demonstrate that the captive insurer maintains sufficient surplus to satisfy all of its obligations to its policyholders and creditors;\n(3)\nCaptive insurer is in compliance with all applicable District laws and regulations; and\n(4)\nCaptive insurer is not a risk retention group licensed as a captive insurer.\n\n(d)\nFor purposes of subsection (a) of this section, protected cells of a captive insurer shall not be separately examined unless the Commissioner has sufficient cause to examine one or more protected cells.","path":["Title 31. Insurance and Securities.","Chapter 39A. Captive Insurance Companies (2004).","Subchapter I. General."],"source_url":"https://code.dccouncil.gov/us/dc/council/code/sections/31-3931.14","current_through":"2026-08-20 (D.C. Law 26-175)","vintage":"","retrieved_at":"2026-08-29T05:44:07Z","sha256":"5dc969ae473f9f11fefbe7d1de0faf51b01aa10e09a2bd521f241ea8190ab5c2","source_id":"us-dc","stale":false,"prev":"us-dc/d.c.-code-31-3931.13","next":"us-dc/d.c.-code-31-3931.15"},"notice":"GroundRules: Original legal text. Not legal advice."}