P&CMAmedium
Who bears the reasonable cost of a MA DOI examination of an authorized insurer conducted under M.G.L. c. 175 §4?
AThe Commonwealth's general fund covers examiner per diem and travel costs, with no billing to the examined insurer
BPolicyholders are billed directly by DOI
The insurer being examined pays the reasonable cost of the examination
DThe NAIC reimburses all examination costs
Why this is the answer
M.G.L. c. 175 §4(4) makes the examined insurer pay the examination charge, any out-of-state travel expenses of the examiners, and the cost of outside actuaries, accountants or other specialists the Commissioner retains. This funding model is standard across NAIC-accredited states.
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