P&CIllinoismedium

Under 215 ILCS 5/500-70, what is the maximum civil monetary penalty per violation that the IDOI Director may impose on a producer for Insurance Code violations?

Q: Under 215 ILCS 5/500-70, what is the maximum civil monetary penalty per violation that the IDOI Director may impose on a producer for Insurance Code violations?

$10,000 per violation — Section 500-70(d) authorizes the IDOI Director to impose a civil penalty up to $10,000 for each cause for discipline against a producer, either in addition to or in lieu of license suspension, revocation, or other discipline. The $500 figure is too low, $1,000,000 too high, and the Director's discretion is bounded by the statutory cap. Penalties are imposed after notice and hearing under the IL APA.

A$500 per violation

B$1,000,000 per violation

CNo statutory maximum; entirely at Director's discretion

$10,000 per violation

Why this is the answer

Section 500-70(d) authorizes the IDOI Director to impose a civil penalty up to $10,000 for each cause for discipline against a producer, either in addition to or in lieu of license suspension, revocation, or other discipline. The $500 figure is too low, $1,000,000 too high, and the Director's discretion is bounded by the statutory cap. Penalties are imposed after notice and hearing under the IL APA.

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