Bill Text: MI HB4846 | 2009-2010 | 95th Legislature | Engrossed
Bill Title: Insurance; unfair trade practices; penalties for engaging in unfair or deceptive acts or practices; increase. Amends sec. 2038 of 1956 PA 218 (MCL 500.2038).
Spectrum: Partisan Bill (Democrat 14-0)
Status: (Introduced - Dead) 2009-08-26 - Referred To Committee On Economic Development And Regulatory Reform [HB4846 Detail]
Download: Michigan-2009-HB4846-Engrossed.html
HB-4846, As Passed House, August 19, 2009
SUBSTITUTE FOR
HOUSE BILL NO. 4846
A bill to amend 1956 PA 218, entitled
"The insurance code of 1956,"
by amending section 2038 (MCL 500.2038).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 2038. (1) If, after opportunity for a hearing held
pursuant
to Act No. 306 of the Public Acts of 1969, as amended the
administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to
24.328, the commissioner determines that the person complained of
has engaged in methods of competition or unfair or deceptive acts
or practices prohibited by sections 2001 to 2050, the commissioner
shall reduce his or her findings and decision to writing and shall
issue and cause to be served upon the person charged with the
violation a copy of the findings and an order requiring the person
to cease and desist from engaging in that method of competition,
act, or practice and, in addition, the commissioner may order any
of the following:
(a)
Payment of a monetary penalty an
administrative fine of
not
more than $500.00 $2,000.00 for each violation but not to
exceed
an aggregate penalty fine of $5,000.00 $20,000.00, unless
the person knew or reasonably should have known he or she was in
violation
of this chapter, in which case the penalty fine shall
not
be
more than $2,500.00 $10,000.00 for each violation and shall not
exceed
an aggregate penalty fine of $25,000.00 $100,000.00 for all
violations committed in a 6-month period. A fine collected under
this subdivision shall be deposited in the insurance whistleblower
protection fund created in section 2035a.
(b) Suspension or revocation of the person's license or
certificate of authority if the person knowingly and persistently
violated a provision of this chapter.
(c) Refund of any overcharges.
(2) The filing of a petition for review does not stay
enforcement of action pursuant to this section, but the
commissioner may grant, or the appropriate court may order, a stay
upon appropriate terms.
(3) Until the expiration of the time allowed under section 244
for filing a petition for review if a petition has not been duly
filed within that time or, if a petition for review has been filed
within that time, then until the transcript of the record in the
proceeding
has been filed in the circuit court, as hereinafter
provided,
the commissioner, upon notice and
in a manner as he shall
deem
or she considers proper, may modify or set aside in whole or
in
part an order issued by him the
commissioner under this section.
(4) After the expiration of the time allowed for filing a
petition for review, if a petition has not been duly filed within
that time, the commissioner may at any time, by order, after notice
and opportunity for hearing, reopen and alter, modify, or set
aside,
in whole or in part, an order issued by him the commissioner
under
this section, when in his if
in the commissioner's opinion
conditions of fact or of law have so changed as to require that
action
or if the public interest shall so require requires.
Enacting section 1. This amendatory act does not take effect
unless all of the following bills of the 95th Legislature are
enacted into law:
(a) House Bill No. 5144.
(b) House Bill No. 5149.
