State RegulationsFL specificDifficulty 1/5
Under Fla. Stat. 624.4211, in lieu of revoking an insurer's certificate of authority, what administrative penalty may be imposed for a willful violation?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Under Fla. Stat. 624.4211, the administrative penalty that may be imposed on an insurer in lieu of revocation is up to $12,500 per nonwillful violation and up to $100,000 per willful violation, with aggregate caps of $50,000 and $500,000 for the same action, plus restitution with interest at 12% per year. Chapter 2023-172 raised these from $5,000/$40,000 to $12,500/$100,000, so the older textbook figures are obsolete.
Why the other options are wrong
- B) $12,500 is the cap per nonwillful violation under Fla. Stat. 624.4211; a willful violation carries the higher amount.
- C) $50,000 is the aggregate cap for nonwillful violations against the same insurer in the same action, not the willful per-violation amount.
- D) $500,000 is the aggregate cap for willful violations against the same insurer in the same action, not the per-violation penalty.
Memory hook
Insurer penalty in lieu of revocation: 12.5k/100k, willful doubles the pain.