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Terms Used In Iowa Code 515I.11

  • following: when used by way of reference to a chapter or other part of a statute mean the next preceding or next following chapter or other part. See Iowa Code 4.1
  • month: means a calendar month, and the word "year" and the abbreviation "A. See Iowa Code 4.1
  • person: means individual, corporation, limited liability company, government or governmental subdivision or agency, business trust, estate, trust, partnership or association, or any other legal entity. See Iowa Code 4.1
  • Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
  • state: when applied to the different parts of the United States, includes the District of Columbia and the territories, and the words "United States" may include the said district and territories. See Iowa Code 4.1
515I.11 Violations and penalties.
1. The commissioner may, after notice and a hearing, declare a surplus lines insurer
ineligible to place surplus lines insurance in the state if at any time the commissioner has reason to believe that a surplus lines insurer meets any of the following conditions:
a. Is in unsound financial condition or has acted in an untrustworthy manner.
b. No longer meets the standards set forth in this chapter.
c. Has willfully violated the laws of this state.
d. Does not conduct its claims settlement practices in a fair and reasonable manner.
e. Has committed an unfair or deceptive insurance trade practice under chapter 507B.
2. The commissioner may suspend, revoke, or refuse to renew the license of a surplus lines insurance producer or impose any sanction or penalty allowed under chapter 507B after notice and hearing for one or more of the following grounds:
a. Removal of the resident surplus lines insurance producer’s principal place of business from this state without notice to the commissioner.
b. Removal of the resident surplus lines insurance producer’s office accounts and records from this state during the period for which the accounts and records are required to be maintained.
c. Closure of the surplus lines insurance producer’s office for a period of more than thirty business days, unless permission is granted by the commissioner.
d. Failure to file required reports with the commissioner or the commissioner’s designee.
e. Failure to remit surplus lines insurance premium taxes to this state as directed by the commissioner.
f. Violating any provision of this chapter.
g. For any cause for which an insurance producer license could be denied, revoked, or suspended, or renewal refused or a civil penalty imposed under chapter 522B.
3. The commissioner may initiate an administrative proceeding against a surplus lines insurance producer for the collection of unpaid premium taxes. The commissioner may assess a penalty of one percent of the delinquent amount of taxes owed per month as specified in § 507A.9 and any other penalties allowed by law.
4. A person that represents or aids a nonadmitted insurer in violation of this chapter shall be subject to criminal penalties as set forth in § 507A.10.
2012 Acts, ch 1025, §11, 22