Delaware Insurance Commissioner Karen Weldin Stewart has fined insurance companies a total of $83,300 during the first quarter of 2016 for violating state insurance regulations.
Fines generally result from a market conduct examination of a company’s practices performed by the Department of Insurance (DOI), or from DOI’s participation in a multi-state examination.
Details of the fines levied against insurers are as follows:
- 21st Century was fined $27,500 on Jan. 21 for failing to properly notify insureds at least 10 days in advance of the effective date of a surcharge.
- Teachers Insurance Co. was fined $25,000 on Feb. 4 for failing to properly file disclosures associated with rate changes and for providing inaccurate information to policyholders; and for failing to properly notify policyholders of surcharges.
- Homesite Insurance Co. was fined $15,000 on March 10 for charging and collecting cancellation fees that were not specified in its policies filed with DOI, and for failing to deny coverage of claims within a reasonable time after proof of loss statements had been completed.
- Jackson National Life Insurance Co. was fined $3,800 on March 22 for certain notice violations.
- Progressive Direct was fined $5,000 on March 3 and Progressive Northern was fined $7,000 on March 4, both for applying a surcharge that exceeded the pro rata amount of the total amount of the claim paid.
In addition, regulators announced in early January that penalties assessed against Aetna and Highmark Blue Cross Blue Shield Delaware for various violations totaled $483,000.
Was this article valuable?
Here are more articles you may enjoy.
Marsh McLennan Agency to Buy Fisher Brown Bottrell for About $316M 
Chubb to Acquire MGA Healthy Paws From Aon 
AIG General Insurance Chairman McElroy to Retire May 1 
Trump’s Bond Insurer Tells Judge Shortfall Is ‘Inconceivable’ From This Issue
