The bill aims to enhance consumer protection by increasing accountability for insurers who violate the insurance code in Washington State. It amends existing laws to empower the insurance commissioner with additional enforcement tools. Specifically, the commissioner can now issue cease and desist orders, bring actions to enjoin violations, and order restitution to affected individuals. The restitution must be paid with eight percent simple interest and within 30 days of the order. These changes are designed to ensure that consumers receive timely compensation for any losses incurred due to violations by insurers.

Additionally, the bill modifies the penalties for insurers found in violation of the insurance code. It establishes a fine structure that ranges from $250 to $10,000 per violation, with specific timelines for payment set between 15 to 30 days. If an insurer fails to pay the fine, the commissioner is authorized to revoke their certificate of authority. The bill also stipulates that any collected fines will be directed to the state treasurer for the general fund, thereby reinforcing the financial accountability of insurers and enhancing the overall regulatory framework governing the insurance industry.

Statutes affected:
Original Bill: 48.02.080, 48.05.185