How often must the Maryland Commissioner examine domestic insurers?

• A. Every year
• B. Every 3 years
• C. Once every 5 years
• D. Every 7 years

Answer: (C)

Regular examinations of domestic insurers ensure regulators verify financial condition, reserves, and compliance with laws. In Maryland, the standard rule is that the Commissioner must examine each domestic insurer at least once every five years. This five-year cycle balances thorough oversight with practical regulatory workload, and the schedule can be adjusted to more frequent exams if risk factors or prior findings warrant it. Annual or three-year intervals are shorter than required, and seven years would be longer than the standard, potentially leaving risks unchecked for too long.