§ 26.1-39-18 — Declination or termination requirements for property and casualty policies - Enforcement - Penalties

North Dakota § 26.1-39-18

• Jurisdiction: North Dakota
• Title 26.1: Insurance
• Ch. 26.1-39: Property and Casualty Insurance

Text

- Enforcement - Penalties.
1. Whenever the commissioner, upon the filing of a complaint or through the
commissioner's own investigation has reason to believe that an insurer or insurance
producer has engaged in practices which violate sections 26.1-39-10 through
26.1-39-21 and that a proceeding would be in the public interest, the commissioner
shall conduct a hearing.
2. If after hearing the commissioner determines that an insurer has violated subsection 1
of section 26.1-39-13, section 26.1-39-16, or section 26.1-39-17, the commissioner
may require the insured to accept the application or written request for insurance
coverage at a rate and on the same terms and conditions as are available to other
risks similarly situated, or reinstate insurance coverage to the end of the policy period,
or continue insurance coverage at a rate and on the same terms and conditions as are
available to other risks similarly situated.

3. If the commissioner after hearing determines that any person has violated sections
26.1-39-10 through 26.1-39-21, the commissioner may issue a cease and desist order
to restrain the person from engaging in practices that violate these sections or assess
a penalty against the person of up to five hundred dollars for each violation of the
sections or for each willful and knowing violation of these sections assess a penalty
against such person of up to five thousand dollars or cancel, revoke, or refuse to
renew a company's certificate of authority to do business in this state.
4. If the commissioner determines in a final order that an insurer has violated
subsection 1 of section 26.1-39-13, section 26.1-39-16, or section 26.1-39-17, the
applicant or named insured aggrieved by the violation may bring an action in a court of
competent jurisdiction in this state to recover from the insurer any loss not otherwise
recovered through insurance which would have been paid under the insurance
coverage that was declined or terminated in violation of these sections.
5. Any amount recovered may not be duplicative of any recovery obtained through the
exercise of any other statutory or common-law claim for relief arising out of the same
occurrence. No action under this section may be brought two years after the date of a
final order of the commissioner finding a violation of subsection 1 of section 26.1-39-13
or section 26.1-39-16.