Violation of expense limitation.

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§431:4-315 Violation of expense limitation. (a) The officers and directors of an insurer violating section 431:4-314 shall be jointly and severally liable to the insurer for any excess of expenses incurred.

(b) For failure or refusal of the insurer to exercise reasonable diligence in enforcing such liability, the commissioner may:

(1) Prosecute action thereon for the benefit of the insurer; and

(2) Revoke the insurer's certificate of authority. [L 1987, c 347, pt of §2]


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