Penn. Insurance Department Collects $343K in Penalties, Fines in Q2

The Pennsylvania Insurance Department collected more than $343,000 in penalties and fines, as well as more than $73,000 in restitution during the 2013 second quarter, according to the department’s announcement this week.

In total, 37 enforcement actions and market conduct examinations were closed and 3,654 written consumer complaints and inquiries were processed.

The department also said it revoked eight licenses from individuals in the second quarter for violating Pennsylvania laws or regulations.

Insurance agents and companies must comply with state laws. If an investigation determines the law is broken, the department can impose fines, suspend or revoke a license and require a remediation.

The reasons for the actions were the result of companies and/or individuals: improperly charging insurance premiums; failing to process and pay major medical claims in a timely fashion; failing to disclose prior felony or misdemeanor convictions; falsifying insurance applications; failing to provide required sales and replacement disclosures when selling life insurance and annuity products; and misappropriating insurance premiums.