Rhode Island General Laws 27-52-11. Penalties and liabilities
(a) A reinsurance intermediary, insurer, or reinsurer found by the commissioner, after a hearing conducted in accordance with the Administrative Procedures Act, chapter 35 of Title 42, to be in violation of any provision(s) of this chapter, shall:
(1) For each separate violation, pay a penalty in an amount not exceeding five thousand dollars ($5,000);
(2) Be subject to revocation or suspension of its license; and
(3) If a violation was committed by the reinsurance intermediary, the reinsurance intermediary shall make restitution to the insurer, reinsurer, rehabilitator, or liquidator for the net losses incurred by the insurer or reinsurer attributable to the violation.
Terms Used In Rhode Island General Laws 27-52-11
- Insurer: means any person, firm, association, or corporation duly licensed in this state pursuant to the applicable provisions of the insurance law as an insurer. See Rhode Island General Laws 27-52-2
- Reinsurance intermediary: means a reinsurance intermediary broker or a reinsurance intermediary manager as these terms are defined in subsections (7) and (8) of this section, but shall not mean an intermediary in an insurance securitization or reinsurance transaction with a protected cell established by a protected cell company organized under the Protected Cell Companies Act, chapter 64 of this title, as those terms are defined or utilized in that act. See Rhode Island General Laws 27-52-2
- Reinsurer: means any person, firm, association, or corporation duly licensed in this state pursuant to the applicable provisions of this title as an insurer with the authority to assume reinsurance. See Rhode Island General Laws 27-52-2
- Restitution: The court-ordered payment of money by the defendant to the victim for damages caused by the criminal action.
- To be in violation: means that the reinsurance intermediary, insurer, or reinsurer for whom the reinsurance intermediary was acting failed to substantially comply with the provisions of this chapter. See Rhode Island General Laws 27-52-2
(b) The decision, determination, or order of the commissioner pursuant to subsection (a) of this section shall be subject to judicial review pursuant to the Administrative Procedures Act, chapter 35 of Title 42.
(c) Nothing contained in this section shall affect the right of the commissioner to impose any other penalties provided in the insurance law.
(d) Nothing contained in this chapter is intended to or shall in any manner limit or restrict the rights of policyholders, claimants, creditors, or other third parties or confer any rights to those persons.
History of Section.
P.L. 1992, ch. 445, § 1.