§ 58-33A-26 — Corrective action for violations.

An insurer is responsible for compliance with §§ 58-33A-13 to 58-33A-27 , inclusive. If a violation occurs because of the action or inaction of the insurer or its producer, the director may order: (1) An insurer to take reasonably appropriate corrective action for any consumer harmed by a failure to comply by the insurer, an entity contracted to perform the insurer’s supervisory duties, or by its producer in violation of §§ 58-33A-13 to 58-33A-27 , inclusive; (2) A producer to take reasonably appropriate corrective action for any consumer harmed by the producer's violation of §§ 58-33A-13 to 58-33A-27 , inclusive; and (3) A general agency or independent agency that employs or contracts with a producer to sell, or solicit the sale, of annuities to consumers, to take reasonably appropriate corrective action for any consumer harmed by the producer's violation of §§ 58-33A-13 to 58-33A-27 , inclusive. Any violation of §§ 58-33A-13 to 58-33A-27 , inclusive subjects the insurer, producer, or general agency or independent agency to suspension, revocation, refusal to renew a license, or to a monetary penalty as provided for under this title. However, the penalty may be reduced or eliminated, if corrective action for the consumer is taken promptly after a violation is discovered or the violation was not part of a pattern or practice.

Legislative History

SL 2008, ch 273, § 14; SL 2012, ch 250, § 14; SL 2022, ch 186, § 28, eff. Jan. 1, 2023.