Sec. 250.
(1) All insurers licensed to do business in this state shall notify the director within 30 days of any transfer of stock that results in any 1 person holding 10% or more of the voting shares of an insurer. In addition, a domestic insurer shall notify the director within 30 days of the appointment or election of any new officers or directors.
(2) If, after proceedings under section 249, the director has reason to believe that an officer or director is untrustworthy or has abused his or her trust and that continuation as an officer or director is hazardous or injurious to the insurer, the policyholders, or the public, the director shall hold a hearing. After the hearing and after written findings that the officer or director is untrustworthy or has abused his or her trust and that continuation as an officer or director is hazardous or injurious to the insurer, the policyholders, or the public, the director may order the removal of the officer or director.
(3) If the insurer does not comply with a removal order under subsection (2) within 30 days, the director may suspend or revoke the insurer's certificate of authority until the insurer complies with the order.
(4) Any action under this section taken by an insurer or its directors or officers pursuant to an order of the director under this act must be considered to be in good faith and not be the basis for subjecting the insurer or its directors or officers to civil liabilities.
(5) An order of the director issued under this section is subject to review as provided in section 244.
(6) As used in this section, "insurer" includes a nonprofit dental care corporation operating under 1963 PA 125, MCL 550.351 to 550.373.
History: Add. 1967, Act 262, Eff. Nov. 2, 1967 ;-- Am. 2002, Act 684, Imd. Eff. Dec. 30, 2002 ;-- Am. 2016, Act 276, Imd. Eff. July 1, 2016 Popular Name: Act 218
Structure Michigan Compiled Laws
Chapter 500 - Insurance Code of 1956
Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302)
218-1956-2 - Chapter 2 the Insurance Commissioner (500.200...500.271)
Section 500.200 - Insurance Department; Establishment.
Section 500.204 - Insurance Commissioner; Salary; Oath; Bond.
Section 500.205 - Commissioner; Powers.
Section 500.206 - Insurance Commissioner; Seal, Approval, Renewal.
Section 500.208 - Office of Financial and Insurance Services; Offices; Expense; Audit.
Section 500.210 - Insurance Commissioner; Regulatory Powers.
Section 500.214 - Commissioner; Immunity From Civil Liability; Conditions.
Section 500.216 - Insurance Commissioner and Employees; Traveling and Other Expenses.
Section 500.220 - Insurance Commissioner and Employees; Service Fees, Prohibited Gifts.
Section 500.224a - Report Relating to Regulatory Fees.
Section 500.224b - Repealed. 2008, Act 440, Eff. Apr. 1, 2009.
Section 500.225a - Contract for Services, Supplies, and Materials.
Section 500.226 - Disclosure of Confidential Information; Penalty.
Section 500.228 - Examinations and Investigations of Insurers; Report of Crimes to Attorney General.
Section 500.230 - Recovery of Penalty; Disposition of Funds.
Section 500.236 - Repealed. 1992, Act 182, Imd. Eff. Oct. 1, 1992.
Section 500.238 - Insurance Commissioner; Annual Report to Governor, Contents, Publication.
Section 500.240 - Fees and Charges; Collection, Payment, and Disposition.
Section 500.244 - Judicial Review.
Section 500.246 - Repealed. 1992, Act 182, Imd. Eff. Oct. 1, 1992.
Section 500.248 - Violations of Act; Actions; Perjury.
Section 500.249a - Fingerprints Required; Costs; Providing Criminal History Records.