58-12-33. Flagrant or frequent violations--Notice and opportunity to correct inadvertent violations. Any act by an insurer, if committed in violation of this section, is an unfair claims practice if:
(1) It is committed flagrantly and in conscious disregard of the provisions of §§ 58-12-31 to 58-12-37, inclusive, or any rule promulgated pursuant to §§ 58-12-31 to 58-12-37, inclusive; or
(2) It is committed with such frequency to indicate a general business practice to engage in that type of conduct.
For any act defined in § 58-12-34, the director shall provide notice and an opportunity to correct the violation pursuant to § 58-33-68 if the act was inadvertent. Any act that is committed flagrantly or in conscious disregard of the provisions of §§ 58-12-31 to 58-12-37, inclusive, are not subject to the procedures required under § 58-33-68.
Source: SL 2014, ch 235, § 3.
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