2023 Oregon Revised Statutes › Volume : 18 - Financial Institutions, Insurance › Chapter 732 - Organization and Corporate Procedures of Domestic Insurers; Regulation of Insurers Generally › Section 732.689 - Retention of consultant to assist director’s review of corporate governance annual disclosure; consultant’s qualifications and duties; agreement with consultant.

(1)(a) The Director of the Department of Consumer and Business Services, at the expense of the insurer or insurance group from which the director receives a corporate governance annual disclosure, may retain a consultant, including an attorney, actuary, accountant or other expert, whenever the director reasonably requires assistance to review the corporate governance annual disclosure or related information and to evaluate the insurer’s or insurance group’s compliance with this section and ORS 732.680, 732.683 and 732.686.
(b) A consultant that the director retains under paragraph (a) of this subsection shall:
(A) Act solely under the director’s supervision;
(B) Serve only in an advisory capacity; and
(C) Comply with the requirements for confidentiality set forth for the director in ORS 732.686.
(2) The director may not retain a consultant unless the consultant demonstrates to the director that the consultant:
(a) Does not have a conflict of interest; and
(b) Has internal procedures that enable the consultant to:
(A) Monitor and avoid conflicts of interest; and
(B) Comply with the requirements for confidentiality set forth for the director in ORS 732.686.
(3) The director shall enter into a written agreement with a consultant that the director retains under subsection (1) of this section, or with the National Association of Insurance Commissioners if the director consults with the association, that specifies how the consultant or association may share and use documents, materials or other information described in ORS 732.686 (1)(a). The terms of the agreement must require the consultant or association to obtain written permission from the insurer or insurance group that is the source or subject of the documents, materials or other information before making the documents, materials or other information public and must specify:
(a) Procedures and protocols for keeping the documents, materials and other information secure and confidential;
(b) Conditions under which the consultant or the association may share the documents, materials or other information, including requirements that the recipient of the documents, materials or other information must:
(A) Agree in writing to keep the documents, materials and other information secure and confidential; and
(B) Verify in writing that the consultant or association has legal authority to keep the documents, materials or other information secure and confidential;
(c) That the consultant or association may share the documents, materials and other information only with regulatory agencies in states that are domiciles of the insurer that is the source or subject of the documents, materials or other information or of an insurer within the insurance group that is the source or subject of the documents, materials or other information;
(d) That the director retains ownership and control of the documents, materials or other information and that the consultant or association may use the documents, materials or other information only in accordance with the director’s specifications or under the director’s supervision;
(e) That the consultant or association may not store the documents, materials or other information in a permanent database or another form after the consultant or association completes the consultation or finishes assisting the director;
(f) That the consultant or association must immediately notify the director and the insurer or insurance group that is the source or subject of the documents, materials or other information if the consultant or association receives a subpoena or other request to disclose or produce the documents, materials or other information; and
(g) That the consultant or association agrees to permit the insurer or insurance group that is the source or subject of the documents, materials or other information to intervene in any administrative or judicial proceeding that might require the consultant or association to disclose or produce the documents, materials or other information. [2017 c.479 §8]
Note:
See note under 732.650.