What triggers an audit by the Commissioner?

The correct response highlights that audits by the Commissioner are often conducted based on established schedules at specific intervals, such as every five years. This is a systematic approach designed to ensure that insurance companies remain compliant with state regulations and standards. Regular audits help maintain oversight and accountability in the insurance industry, monitor practices, and ensure that companies are operating within the law.

In this context, audits may not solely rely on random selection or immediate reactions to individual complaints, but rather follow a systematic schedule that facilitates comprehensive and consistent evaluations of insurance entities over time. Such scheduled audits help streamline the auditing process and ensure that all companies are periodically reviewed for adherence to regulatory standards.