Penn. Regulators Recovered $3.2M in Restitution for Consumers in 2011

The Pennsylvania Insurance Department said its office of market regulation completed 334 enforcement actions and market conduct examinations in 2011.

In all, the department issued 141 orders and adjudications, collected more than $900,000 in penalties and fines and recovered $3.2 million in restitution for consumers.

Action is taken after an investigation reveals violations of Pennsylvania statutes or regulations, or after the completion of a market conduct examination. Enforcement actions conclude with the issuance of a consent order, a settlement agreement, or an order and adjudication.

The results of the actions are as follows:
• 37 individual insurance licenses were revoked or surrendered to the department.
• 57 licenses were placed under various periods of supervision.
• 16 waivers were issued, placing individuals under indefinite supervision due to prior felony convictions.

The reasons for the actions were the result of companies and/or agents:
• Using unapproved insurance contracts.
• Misappropriating premium dollars.
• Forging or altering signatures of policyholder applications.
• Failing to disclose prior felony and misdemeanor convictions.
• Selling unlicensed health plans.
• Lying on license applications or renewal forms.

Source: Pennsylvania Insurance Department

Topics Pennsylvania