Title 27
Insurance

Chapter 9.1
Unfair Claims Settlement Practices Act

R.I. Gen. Laws § 27-9.1-6

§ 27-9.1-6. Cease and desist and penalty orders.

If, after a hearing, the director finds an insurer has engaged in an unfair claims practice, the director shall reduce the findings to writing and shall issue and cause to be served upon the insurer charged with the violation a copy of the findings and an order requiring the insurer to cease and desist from engaging in the act or practice and the director may, at the director’s discretion, order:

(1) Payment of a monetary penalty of not more than ten thousand dollars ($10,000) for each violation, but not to exceed an aggregate penalty of one hundred thousand dollars ($100,000), unless the violation was committed flagrantly and in conscious disregard of this chapter, in which case the penalty shall not be more than twenty-five thousand dollars ($25,000) for each violation, but not to exceed an aggregate penalty of two hundred fifty thousand dollars ($250,000) pursuant to any hearing; and/or

(2) Suspension or revocation of the insurer’s license if the insurer knew or reasonably should have known it was in violation of this chapter.

History of Section.
P.L. 1993, ch. 37, § 1; P.L. 1993, ch. 227, § 1.