H. B. 2975
(By Delegates Perry, Hartman, Shook, Schoen,
Reynolds and Walters)
[Introduced March 6, 2009; referred to the
Committee on Banking and Insurance then the Judiciary.]
A BILL to amend and reenact §33-2-11 of Code of West Virginia,
1931, as amended, relating to authorizing the Insurance
Commissioner to order restitution in certain cases.
Be it enacted by the Legislature of West Virginia:
That §33-2-11 of the Code of West Virginia, 1931, as amended,
be amended and reenacted to read as follows:
ARTICLE 2. INSURANCE COMMISSIONER.
§33-2-11. Enforcement of orders; revocation of licenses; court
action.
In addition to examinations and investigations expressly
authorized by this chapter, the commissioner may conduct
such
examinations and investigation of insurance matters
as he
or she
may deem considers proper to determine whether any person has
violated any provision of this chapter or to secure information
useful in the lawful administration of his
or her duties. If the commissioner determines, after notice and hearing, that any person
is transacting insurance in an illegal, improper or unjust manner
or is failing to pay losses and obligations when they become due,
excepting claims to which there is a substantial defense, he
or she
may order
such the person to discontinue
such the illegal, improper
or unjust manner of transacting insurance,
or may order such person
to adjust and pay his
or her obligations as they become due,
and to
pay restitution to any person who has suffered damages as a result
of the illegal, improper or unjust manner of transacting business.
If
any a person
shall fail or refuse fails or refuses within twenty
days after notice to obey
such the order, the commissioner may
revoke any license issued by
him the commissioner and held by
such
the person.
and In addition
the commissioner may apply to the
circuit court, or the judge
thereof in vacation, having
jurisdiction for an injunction or the appointment of a receiver, or
for both.
and such The court or judge may enforce
such the order of
the commissioner by injunction or by appointment of a receiver to
take charge of the affairs and property of
such the person, or
both, and may make
such further orders as may be necessary and
proper to effectuate
such the injunction or receivership.
NOTE: The purpose of this bill is to clarify that the
Insurance Commissioner may order restitution to persons injured by
violations of the insurance code.
Strike-throughs indicate language that would be stricken from
the present law, and underscoring indicates new language that would
be added.