Debra McNeil Josh Harrison Enforcement Division Enforcement Statutes Unfair Competition Unfair or Deceptive Acts and Practices IC 27411 Producers Statute IC 27115612 IC 27413 No ID: 597639
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RECENT IDOI ENFORCEMENT ACTIONS
Debra McNeil
Josh HarrisonSlide2
Enforcement DivisionSlide3
Enforcement StatutesUnfair Competition, Unfair or Deceptive Acts and PracticesIC 27-4-1-1
Producer’s Statute
IC 27-1-15.6-12Slide4
IC 27-4-1-3No person shall engage in this state in any trade practice which is defined in this chapter or determined pursuant to this chapter as an
unfair method of competition
or as an
unfair or deceptive act or practice
in the business of insurance.Slide5
PersonIndividualAgentBroker
Adjuster
Navigator
Third Party Adjuster
Independent Adjuster
Company
Agency
UnderwriterSlide6
Unfair Method of CompetitionIC 27-4-1-4Misrepresenting terms
Untrue, deceptive, or misleading statements
Supplying false information to regulator
Unfairly discriminating
Excessive or inadequate chargesSlide7
Unfair or Deceptive Act or PracticeIC 27-4-1-4.5Misrepresenting facts or policy terms
Failing to respond
Not attempting prompt, fair, and equitable settlement of a claim
Failing to provide reasonable explanation for a denialSlide8
Catch-AllIC 27-4-1-8Any
method of competition or any practice not otherwise defined but deemed unfair or deceptiveSlide9
Statement of ChargesIC 27-4-1-5The Commissioner shall issue and cause to be served a statement of charges and notice in writing of a hearing under IC 4-21.5-3.Slide10
ProcedureHearingsPreliminaryMotions
Adjudicatory
SettlementSlide11
PenaltiesIC 27-4-1-6Civil penalty
$25,000 per violation
$50,000 per violation if the person knew or reasonably should have known in violation
Suspension or RevocationSlide12
Producer’s StatuteProviding incorrect information on license applicationViolating an insurance lawMisappropriating funds
Convicted of a felony
Having license revoked in another state
Failing to pay state income taxSlide13
Additional CausesAppointments listChild support order
Failure to notify of administrative action in another jurisdiction
Failure to notify of a criminal prosecutionSlide14
HearingsDenial or Non-renewalIC 27-1-15.6-12(d)Applicant must request within 63 days
Burden on Applicant to show denial unreasonable
Active License
IC 4-21.5 (AOPA)
Department must give Notice and Hearing
Burden on the DepartmentSlide15
PenaltiesIC 27-1-15.6-12(b)Civil penalty
Probation
Suspension
RevocationSlide16
BailQualificationsIC 27-10-3-3
Good Moral Character
Disqualifying Offense
Misdemeanor 5 years
Felony 10 yearsSlide17
Bail27-10-3-8Violating any laws under license
Misstatement or fraud in application
Fraudulent or dishonest practice
Incompetence or untrustworthiness
Rebating
Tax WarrantSlide18
Bail RevocationDisqualifying OffenseImmediately upon plea or convictionBefore sentencing
Is not stayed on appeal
Other cause
Serve a copy of charges
Agent must request hearing within 10 daysSlide19
Alvino Jones3 separate complaints about Jones
On December 15, complainants came in after being shot during one attempted recovery
Investigator Herndon relayed investigation to Indiana State Police Det. Logsdon
March 6, 2015, Jones arrested during attempted apprehension
Jones was charged with Burglary and Possession of Firearm by a Serious Violent FelonSlide20
Unique Insurance CompanyInitial Consumer complaints and Prior Enforcement actionMarket Conduct Examination
Evidence of Major Claims handling issues
Failure to communicate
Failure to pay claim
Failure to provide prompt and fair settlement
Failure to provide explanation of denialSlide21
UniqueIC 27-1-3.1-9(e)Prima facie evidence in any legal or regulatory action
Statement of Charges
269 separate violations
Regulatory Settlement Agreement Reached