Last week, the Maryland Insurance Administration (MIA) issued a bulletin announcing increased maximum civil penalties that the MIA may impose for violation of state insurance law. These new maximums go into effect Oct. 1, as a result of the passage of Senate Bill 229 earlier this year:
- $5,000 per violation for insurance producers and public adjusters.
- $125,000 for an insurer or individual who operates in violation of state licensing laws (i.e. selling insurance without a license).
The MIA lobbied in favor of the bill, arguing that the previous $500 maximum penalty for producers and public adjusters was last set in 1963, and no longer served as an effective deterrent.
The $100 minimum penalty remains unchanged.
Need additional information?
Contact IA&B Government Affairs Director John Savant at 717-918-9214 or JohnS@IABforME.com.