To assist the performance of the Commissioner’s regulatory duties, the Commissioner:
1. May retain, at the expense of the insurer or insurance group, third-party consultants, including, without limitation, attorneys, actuaries, accountants and other experts who are not part of the staff of the Commissioner, as may be reasonably necessary to assist the Commissioner in reviewing a corporate governance annual disclosure and related information or the compliance of an insurer or insurance group with NRS 692C.3501 to 692C.3509, inclusive, if:
(a) Any third-party consultant so retained is under the direction and control of the Commissioner and acts in a purely advisory capacity;
(b) The third-party consultant is subject to the same confidentiality standards and requirements as the Commissioner; and
(c) The third-party consultant verifies to the Commissioner before being retained, and provides notice to the insurer or insurance group, as applicable, that he or she does not have a conflict of interest and has internal procedures in place to monitor the existence of a conflict of interest and to comply with the confidentiality standards and requirements of NRS 692C.3501 to 692C.3509, inclusive.
2. Shall enter into a written agreement with the National Association of Insurance Commissioners and with any third-party consultant retained by the Commissioner which governs the sharing and use of information provided pursuant to NRS 692C.3501 to 692C.3509, inclusive. Such a written agreement must:
(a) Contain specific procedures and protocols for maintaining the confidentiality and security of information relating to a corporate governance annual disclosure which is shared with the National Association of Insurance Commissioners or third-party consultant, including, without limitation, procedures and protocols for sharing by the National Association of Insurance Commissioners only with other state regulators from states in which an insurance group has domiciled insurers;
(b) Provide that the recipient of documents, materials or other information relating to a corporate governance annual disclosure agrees in writing to maintain the confidentiality and privileged status of such items and has verified in writing the legal authority to maintain confidentiality;
(c) Specify that ownership of any information relating to a corporate governance annual disclosure shared with the National Association of Insurance Commissioners or third-party consultant remains with the Commissioner and the use of the information by the National Association of Insurance Commissioners or third-party consultant is subject to the discretion of the Commissioner;
(d) Prohibit the National Association of Insurance Commissioners or third-party consultant from storing the shared information in a permanent database after the underlying analysis is completed;
(e) Require the National Association of Insurance Commissioners or third-party consultant to provide prompt notice to the Commissioner and to the insurer or insurance group, as applicable, regarding any subpoena, request for disclosure or request for production of the information relating to the corporate governance annual disclosure of the insurer or insurance group, as applicable; and
(f) Require the National Association of Insurance Commissioners or third-party consultant to consent to intervention by an insurer or insurance group in any judicial or administrative action in which the National Association of Insurance Commissioners or third-party consultant may be required to disclose confidential information about the insurer or insurance group which is shared with the National Association of Insurance Commissioners or third-party consultant.
(Added to NRS by 2017, 67)