Upon the cancellation or failure to renew, the insurance company having written a liability policy, as described in § 5-65-7, shall notify the contractors’ registration and licensing board of the cancellation or failure to renew. The policy shall continue in effect until ten (10) days after written notice of the cancellation is given to the contractors’ registration and licensing board of the cancellation or termination of the liability policy by the issuing insurance company or companies in addition to any other notices that may be required by law. Any insurance company that fails to notify the contractors’ registration and licensing board, as required in this section, shall be subject to prosecution for a misdemeanor, and upon conviction of that offense, may be punished by a fine of not more than two hundred fifty dollars ($250) for each offense and shall be responsible for any claims, fines, or penalties from any parties resulting from lack of notice. All criminal actions for any violation of this section shall be prosecuted by the attorney general. The attorney general shall prosecute actions to enforce the payment penalties and fines at the request of the director of the department of business regulation or the director’s designee.