North Dakota § 26.1-26.5-06 Administrative penalties and actions by the commissioner

North Dakota Statutes

§ 26.1-26.5-06 — Administrative penalties and actions by the commissioner

North Dakota § 26.1-26.5-06

Title 26.1Insurance

Ch. 26.1-26.5Insurance Broker Controlled Insurer

This text of North Dakota § 26.1-26.5-06 (Administrative penalties and actions by the commissioner) is published on Counsel Stack Legal Research, covering North Dakota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

N.D. Cent. Code § 26.1-26.5-06 (2026).

Text

1.In addition to any other remedies provided herein, whenever it appears to the commissioner that a person has committed or is committing an act that could be determined to be a violation, the commissioner may institute a proceeding under chapter 28-32. After the hearing, the commissioner may order any or all of the following:

a.That the person permanently cease and desist from committing the acts found to be in violation of this chapter.

b.Payment of a penalty of not more than ten thousand dollars for each and every act or violation.

c.That the controlling insurance broker cease placing business with the controlled insurer.

2.If it is found, after hearing, that the controlling broker or any other person has not materially complied with this chapter and that the controlled insurer or

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1. In addition to any other remedies provided herein, whenever it appears to the
commissioner that a person has committed or is committing an act that could be
determined to be a violation, the commissioner may institute a proceeding under

chapter 28-32. After the hearing, the commissioner may order any or all of the
following:
a. That the person permanently cease and desist from committing the acts found to
be in violation of this chapter.
b. Payment of a penalty of not more than ten thousand dollars for each and every
act or violation.
c. That the controlling insurance broker cease placing business with the controlled
insurer.
2. If it is found, after hearing, that the controlling broker or any other person has not
materially complied with this chapter and that the controlled insurer or any policyholder
thereof has suffered any loss or damage, the commissioner may maintain a civil action
or intervene in an action brought by or on behalf of the insurer or policyholder for
recovery of compensatory damages for the benefit of the insurer or policyholder or
other appropriate relief.
3. If an order for liquidation or rehabilitation of the controlled insurer has been entered
pursuant to chapter 26.1-06.1, and the receiver appointed under that order believes
that the controlling insurance broker or any other person has not materially complied
with this chapter, or any rule or order adopted hereunder, and the insurer suffered any
loss or damage therefrom, the receiver may maintain a civil action for recovery of
damages or other appropriate sanctions for the benefit of the insurer.
4. Nothing contained in this section affects the right of the commissioner to impose any
other penalties provided for in the insurance law.
5. Nothing contained in this section is intended to or in any manner alters or affects the
rights of policyholders, claimants, creditors, or other third parties.