What is the typical extent of the examination conducted by the Director on alien insurers?

The typical extent of the examination conducted by the Director on alien insurers primarily focuses on transactions occurring in the U.S. This approach is essential because it allows regulators to assess the insurer's activities and financial stability within the jurisdiction where they are operating. Alien insurers, which are foreign insurance companies operating in the U.S., must comply with local laws and regulations, making it crucial for the Director to examine only those activities that take place within the U.S. market.

By concentrating the examination on U.S. transactions, the Director ensures that the regulatory framework is being applied correctly, protects U.S. consumers, and evaluates the alien insurer's compliance with applicable state laws. This focus is important for maintaining the integrity of the insurance market in the U.S. and ensuring that foreign entities meet the necessary standards to operate effectively and responsibly.

Other considerations or choices about inspecting transactions in the alien’s home country or transactions from the last year alone do not align with the primary regulatory interest, which is safeguarding the local insurance market and consumer interests.