The Georgia Insurance Department schedules an examination of a licensed insurer's claims files in Atlanta. The insurer offers only summaries prepared by its outside accounting firm. What must the insurer do?

Why C is correct

Under O.C.G.A. § 33-2-10, insurers' accounts and records are subject to examination by the Insurance Commissioner, and the insurer must open its books to the Department's examiners. An insurer cannot substitute its own summaries or condition the examination on board or accountant approval; obstructing an examination exposes the insurer to enforcement action by the Department.

Why the other options are wrong

• A) Department examiners examine the original records; pre-digested summaries do not satisfy the insurer's duty.
• B) Examinations proceed on the Commissioner's own authority; home-office approval is irrelevant.
• D) The examination is conducted by the Commissioner's examiners, not by a firm the insurer selects.

Memory hook

Georgia opens the books to the Commissioner — originals, not summaries.

Why C is correct

Under O.C.G.A. § 33-2-10 through § 33-2-13, the Commissioner has broad authority to examine the records of insurers and other persons transacting insurance business in Georgia, without needing a complaint or a court order. Foreign insurers doing business in the state fall within the examination authority, and licensees must make their records available.

Why the other options are wrong

• A) The examination power is not limited to domestic insurers; foreign insurers transacting business in Georgia fall within it.
• B) Examinations may be conducted under the Commissioner's own authority; a policyholder complaint is not a prerequisite.
• D) No court order is needed — producers' records are subject to examination under O.C.G.A. § 33-2-10 through § 33-2-13.

Memory hook

Doing insurance business in Georgia? Your books are open to the Commissioner.