§ 27-9.1-6 - Cease and desist and penalty orders.
SECTION 27-9.1-6
§ 27-9.1-6 Cease and desist and penaltyorders. – If, after a hearing, the director finds an insurer has engaged in an unfairclaims practice, the director shall reduce the findings to writing and shallissue and cause to be served upon the insurer charged with the violation a copyof the findings and an order requiring the insurer to cease and desist fromengaging in the act or practice and the director may, at the director'sdiscretion, order:
(1) Payment of a monetary penalty of not more than tenthousand dollars ($10,000) for each violation, but not to exceed an aggregatepenalty of one hundred thousand dollars ($100,000), unless the violation wascommitted flagrantly and in conscious disregard of this chapter, in which casethe penalty shall not be more than twenty-five thousand dollars ($25,000) foreach violation, but not to exceed an aggregate penalty of two hundred fiftythousand dollars ($250,000) pursuant to any hearing; and/or
(2) Suspension or revocation of the insurer's license if theinsurer knew or reasonably should have known it was in violation of thischapter.