2023 Colorado Revised Statutes › Title 10 - INSURANCE (§§ 10-1-101 — 10-23-110) › REGULATION OF INSURANCE COMPANIES (§§ 10-3-101 — 10-3.5-111) › Article 3 - REGULATION OF INSURANCE COMPANIES (§§ 10-3-101 — 10-3-1716) › Part 16 - CORPORATE GOVERNANCE ANNUAL DISCLOSURES (§§ 10-3-1601 — 10-3-1608) › Section 10-3-1606 - Retention of third-party consultants - information sharing

(1)
The commissioner may retain, at the expense of an insurer or insurance group, one or more third-party consultants, including attorneys, actuaries, accountants, and other experts who are not otherwise members of the commissioner's staff, as may be reasonably necessary to assist the commissioner in reviewing the insurer's or insurance group's CGAD and related information or the insurer's or insurance group's compliance with this part 16.
(2)
Any persons retained pursuant to subsection (1) of this section shall act under the direction and control of the commissioner and in a purely advisory capacity.
(3)
The NAIC and third-party consultants are subject to the same confidentiality standards and requirements established for the commissioner in section
10-3-1605
and elsewhere in this part 16.
(4)
As part of the retention process, a third-party consultant shall verify to the commissioner that the consultant has no conflict of interest, has internal procedures in place to prevent conflicts of interest, and will comply with the confidentiality standards and requirements of this part 16. A third-party consultant shall also provide such verification to the insurer or insurance group whose CGAD the third-party consultant will review.
(5)
A written agreement with the NAIC or with a third-party consultant that governs sharing and use of information provided pursuant to this part 16 must contain the following provisions and must expressly require the written consent of the insurer or insurance group before any such information may be publicly disclosed:
(a)
Specific procedures and protocols for maintaining the confidentiality and security of CGAD-related information that is shared with the NAIC or with a third-party consultant pursuant to this part 16;
(b)
Procedures and protocols for sharing by the NAIC only with other state regulators from states in which an insurance group has domiciled insurers. The agreement shall provide that the recipient agrees in writing to maintain the confidentiality and privileged status of the CGAD-related documents, materials, or other information and has verified in writing the legal authority to maintain confidentiality.
(c)
A provision specifying that ownership of the CGAD-related information shared with the NAIC or with a third-party consultant remains with the division, and the NAIC's or third-party consultant's use of the information is subject to the direction of the commissioner;
(d)
A provision that prohibits the NAIC or third-party consultant from storing the information shared pursuant to this part 16 in a permanent database after the underlying analysis is completed;
(e)
A provision requiring the NAIC or third-party consultant to provide prompt notice to the commissioner and to the insurer or insurance group regarding any subpoena, request for disclosure, or request for production of the insurer's CGAD-related information; and
(f)
A provision stating that the NAIC or third-party consultant consents to intervention by an insurer or insurance group in any judicial or administrative action in which the NAIC or third-party consultant may be required to disclose confidential information about the insurer or insurance group.
Added by 2019 Ch. 188,§ 1, eff. 8/2/2019.
L. 2019: Entire part added, (HB 19-1291), ch. 2088, p. 2088, § 1, effective August 2.