1.0 Insurance Regulation (Disciplinary Actions) SC

Question 1

Hearings

Answer 1

A person charged with engaging in an unfair method of competition or act is entitled to a hearing before the Director. The person must be notified in writing of the time and place of hearing. any person citied to appear and any charges or offenses are charged at least 30 days in advance of the hearing.

Question 2

Cease and Desist Order (stop dont do it anymore)

Answer 2

After a hearing, a director will determine if an act or practice is unfair, and he shall reduce his findings to writings.

Question 3

offenses act willingly made could result up to these penalties

Answer 3

1. Cease and Desist order
2. Fines up to 2,500 or, if willful, 5,000
3. The license may be suspended or revoked
4. A combination of all of the above

Question 4

Violation of cease and desist order:

Answer 4

The person shall pay a fine not to exceed $50 for each day of violation. If the violation is willful, the fine may be assessed in an amount not to exceed $100 per day of violation.

Question 5

Penalties:

Answer 5

The director can impose penalties for every violation of the states insurance laws.

Question 6

Penalties: If the violator is an insurer (Insurance company) licensed in SC, the director can::

Answer 6

1. Impose a fine up to 15,000$(up to 30,000$ if act is willful)
2. Suspend or revoke the violators right to do insurance in SC
3. Both of the above

Question 7

If the violator is a a licensed person, the director can:

Answer 7

1.Fine up to 2,500$ or up to (5000$ if it was willful)
2. suspend or revoke license
3. both of the above

Question 8

Penalties can be applied to charges from law enforcement

Answer 8

They do not preclude civil or criminal proceedings from taking place, during, or after the administrative proceeding.

Question 9

A person who is convicted of a misdemeanor offense will be:

Answer 9

1. Fined up to 2,500$
   2.Imprisoned up to 2 years or
2. both of the above

Question 10

A person who transacts insurance without a license is guilty of a misdemeanor offense and will be:

Answer 10

1.Find up to 10,000$
2. Imprisoned for up to 2 years or
3. Both of the above

Question 11

If a producer has been charged with a crime involving dishonesty, fraud, or breach of fiduciary duties, the director may:

Answer 11

1. Place the producer’s license on probation or suspend or revoke it.

Question 12

If the director finds that the producer got his license by fraud or misrepresentation (lying), he can:

Answer 12

Immediately suspend the license and specify how long it will last. The suspension cannot last longer than 2 years.

Question 13

If a person’s insurance license is revoked, when are they allowed to reapply for another?

Answer 13

at least 2 years

Question 15

The word “conviction” means:

Answer 15

Someone who agreed to a “plea of guilty” or a “plea of nolo contendere” (no contest). and the plea has been recorded by the clerk of court or by the judge in whose court the conviction occurred.

Question 16

Any fine levied by the Director of Insurance must be paid when?

Answer 16

within 30 days, or the license will be suspended.

Question 17

The licensee may appeal to an administrative law judge within how many days?

Answer 17

Within 30 days of the order being issued by the director of insurance.

Question 18

Administrative penalty:

Answer 18

If a person is found to have violated a specific law or regulation related to licensing, they may face additional consequences beyond just having their license denied, put on probation, suspended, or revoked. These consequences can include an administrative penalty,