The Commissioner may suspend or revoke the permission granted by NRS 695B.240 if, after notice and hearing, the Commissioner finds that the corporation has:
1. Misrepresented the conditional nature of the coverage.
2. Neglected or refused either to cancel or otherwise terminate such coverage within the time required by such section.
3. Delivered any such memorandum which did not comply with such section.
4. Shown a lack of diligence in making revisions in the contract or certificate necessary to obtain its approval by the Commissioner.
5. Failed so often in so many important respects in drafting any such contract or certificate to conform to the applicable requirements of the insurance laws that a conclusion of lack of good faith or competency in drafting is reasonably justified.
6. Circulated announcements of coverage to individual subscribers which failed to advise them of the conditional nature of the coverage.
7. In any other manner so negligently or carelessly handled the effecting of group hospital or group medical or dental service coverage under NRS 695B.240 or the administration thereof that the subscriber or the persons covered by the contract or certificate have been misled or exposed to the danger of loss.
(Added to NRS by 1971, 1873)