FINAL BILL REPORT

                  ESB 6039

                           FULL VETO

                     As Passed Legislature

Brief Description:  Imposing fines or regulatory assessments under the insurance code.

Sponsors:  Senator West.

Senate Committee on Ways & Means

House Committee on Financial Institutions & Insurance

Background:  Under the Insurance Code (Title 48 RCW), the Insurance Commissioner is authorized to enforce statutory and regulatory requirements by revoking or suspending an insurer's certificate of authority or by levying fines.  The fines may be not less than $250 and not more than $10,000.  Through a settlement agreement or consent order, an insurer may agree to other remedies that may exceed $10,000.

If a civil action is necessitated to recover a fine, the action is brought by the Attorney General.  Fines collected by the Insurance Commissioner are required to be deposited in the state general fund.

Summary:  Any fine or other regulatory assessment imposed in an enforcement action under the Insurance Code must be collected by the Department of Revenue on behalf of the state and paid into the state general fund.

Votes on Final Passage:

Senate 40 9

House     61 33 (House amended)

Senate    34 10 (Senate concurred)