20-487.04. Penalties
A. If the director believes that a controlling producer or other person has not materially complied with this article or any rule adopted under this article, after notice and an opportunity for a hearing, the director may order the controlling producer to cease placing business with the controlled insurer.
B. If the director finds that due to material noncompliance a controlled insurer or policyholder of the controlled insurer has suffered loss or damage, the director may maintain a civil action or intervene in an action brought by or on behalf of the insurer or policyholder for the recovery of compensatory damages or other appropriate relief for the benefit of the insurer or policyholder.
C. If an order for the liquidation or rehabilitation of the controlled insurer is entered pursuant to chapter 3, article 4 of this title and a receiver who is appointed under that order believes that the controlling producer or other person has not materially complied with this article or rules adopted under this article and that the insurer suffered loss or damage, the receiver may maintain a civil action for the recovery of damages or other appropriate relief for the benefit of the insurer.
D. This section does not affect the right of the director to impose any other penalty provided for by law.
E. This section does not alter or affect the rights of policyholders, claimants, creditors or other third parties.
Copyright ©2024 LegalFix. All rights reserved. LegalFix is not a law firm, is not licensed to practice law, and does not provide legal advice, services, or representation. The information on this website is an overview of the legal plans you can purchase—or that may be provided by your employer as an employee benefit or by your credit union or other membership group as a membership benefit.
LegalFix provides its members with easy access to affordable legal services through a network of independent law firms. LegalFix, its corporate entity, and its officers, directors, employees, agents, and contractors do not provide legal advice, services, or representation—directly or indirectly.
The articles and information on the site are not legal advice and should not be relied upon—they are for information purposes only. You should become a LegalFix member to get legal services from one of our network law firms.
You should not disclose confidential or potentially incriminating information to LegalFix—you should only communicate such information to your network law firm.
The benefits and legal services described in the LegalFix legal plans are not always available in all states or with all plans. See the legal plan Benefit Overview and the more comprehensive legal plan contract during checkout for coverage details in your state.
Use of this website, the purchase of legal plans, and access to the LegalFix networks of law firms are subject to the LegalFix Terms of Service and Privacy Policy.