Section 374.220

Title XXIV BUSINESS AND FINANCIAL INSTITUTIONS

Chapter 374

Effective - 28 Aug 2008   

  374.220.  Expenses, how paid. — 1.  The expenses of proceedings against insurance companies, and examinations of the assets or liabilities and valuations of policies of insurance companies doing business in this state, shall be assessed by the director upon the company proceeded against or examined, or whose policies have been valued.

  2.  If the company has been or shall be adjudged insolvent, or shall neglect, fail or refuse to pay the expenses, the director may approve the payment of the expenses, in whole or in part, which shall be paid in like manner as other expenses of the department; and the amount so paid, together with cost, charges and fees for collecting the same, shall be a first lien upon all the assets and property of such company, and may be recovered by the director of revenue in any court of competent jurisdiction; or if said company be in liquidation, or process of being wound up, the cost and expenses of settling its affairs shall be allowed and taxed as cost against said company, and shall be a first lien upon and payable out of its assets.  The director of revenue shall deposit such sums in the state treasury to reimburse the insurance fund.

  3.  Before any costs of any examination or valuation shall be paid, vouchers for the same shall be submitted to and approved by the commissioner of administration.

  4.  When any examination or valuation is made by the director in person or by any salaried employee of the department, the cost of making the same shall be certified to the director of revenue for collection.

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(RSMo 1939 § 5795, A.L. 1945 p. 1018, A. 1949 H.B. 2115, A.L. 1967 p. 516, A.L. 1991 H.B. 385, et al., A.L. 2008 S.B. 788)

Prior revisions: 1929 § 5685; 1919 § 6096; 1909 § 6890

(1956) Action for attorney fees against insurance director for services rendered state will not lie; only remedy provided is under § 374.220 and review of the director's decision under § 536.100. Barker v. Leggett (Mo.), 295 S.W.2d 836.

(1958) In prohibition proceeding against circuit judge where attorney had brought action against director of insurance in circuit court of county of attorney's residence for review of denial of attorney's claim for compensation, held judge lacked jurisdiction as director was not required by law to hold hearing on attorney's claim and, therefore, it was not a contested case within the meaning of § 536.100. State v. Jensen (Mo.), 318 S.W.2d 353.

(1960) Fees and expenses imposed under this section for examiners of insurance companies held not to be taxes. Leggett v. Missouri State Life Insurance Co. (Mo.), 342 S.W.2d 833.

(1962) Attorneys' fees, arising under 1930 agreement whereby director had agreed to pay attorneys out of unreturned excess premiums which attorneys might be successful in recovering from companies, could not be allowed as department expense payable out of current appropriations and state was not liable for fees by estoppel where method of payment provided in contract was invalid. State ex rel. Johnson v. Leggett (Mo.), 359 S.W.2d 790.