(1) The following is a description of the functions and organization of the Office of the State Auditor, ex officio Commissioner of Insurance, ex officio Commissioner of Securities.

(a) History. The position of the State Auditor was created by Article VII, section 1, of the 1889 Constitution of Montana and was continued by Article VI, section 1, of the 1972 Constitution. The position of State Auditor, ex officio Commissioner of Insurance, was created by 2-15-1903, MCA, effective January 1, 1961. The position of State Auditor, ex officio Commissioner of Securities, was created by 2-15-1901, MCA, effective July 1, 1961.

(b) State Auditor. The State Auditor is elected by the qualified voters of Montana as provided by law at a statewide general election and holds office for a term of four years, and until a successor is elected and qualified. The State Auditor is responsible for administration of the Office of the State Auditor and its departments, and serves as both ex officio Commissioner of Insurance, and ex officio Securities Commissioner. The Office of the State Auditor also operates as a criminal justice agency.

(c) Divisions. The Office of the State Auditor consists of the following divisions:

(i) Insurance Department;

(ii) Securities Department;

(iii) Legal;

(iv) Communications;

(v) Information Technology; and

(vi) Central Services.

(2) Functions of divisions:

(a) Insurance Department. The Insurance Department is headed by the Deputy Insurance Commissioner, and is responsible for providing protection for Montana insurance consumers. The department authorizes and examines insurers; collects and distributes premium taxes and other fees; reviews insurance forms and rates; examines and licenses insurance producers, solicitors, and adjustors; regulates insurance trade practices; and investigates and resolves consumer inquiries and complaints.

(b) Securities Department. The Securities Department is headed by the Deputy Securities Commissioner, and is responsible for administration of the Securities Act of Montana. The department licenses broker-dealers, salespersons, investment advisers, and investment adviser representatives, and registers securities that are offered for sale in Montana. The Securities Department also investigates and enforces violations of the Securities Act of Montana.

(c) Legal Unit. The Legal Unit is headed by the Chief Legal Counsel, and provides legal support for the agency. The Legal Unit handles opinion requests, administrative actions, court proceedings, and other legal matters with which the State Auditor's Office is involved. The Investigations Unit is housed within the Legal Department, and investigates criminal and civil insurance fraud, as well as other violations of the Montana Insurance Code. 

(d) Communications. The Communications Division handles public inquiries and distributes information to the public.

(e) Information Technology. The Information Technology Division provides technology services for the other divisions.

(f) Central Services. Central Services is headed by the Central Services Administrator, and provides administrative support for the Office of the State Auditor with regard to budgeting, personnel, mail circulation, supplies and services, purchasing, and word processing services.

(3) Information or submissions. General inquiries regarding the Office of the State Auditor may be addressed to the State Auditor. Specific inquiries regarding the functions of a particular division may be addressed to the deputy in charge of that division. All requests for hearing, declaratory rulings, and participation in rulemaking may be addressed to the State Auditor unless the notice in the Montana Administrative Register makes specific provisions for submissions.

(4) Chart of the Office of the State Auditor. An organizational chart of the Office of the State Auditor is attached as the following page of this rule, and is incorporated by this reference.