{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-1345.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-1345.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-1345.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-1345.html"}],"law_id":79001,"edition_id":1,"section_id":79001,"structure_id":16474,"section_number":"38.2-1345","catch_line":"Penalties","history":"1993, c. 158.","full_text":"A\n\nIf the Commission finds, after providing an opportunity to be heard, that the controlling producer or any other person has not materially complied with the provisions of this article, or any regulation or order promulgated hereunder, the Commission may order the controlling producer to cease placing business with the controlled insurer.B\n\nIf it is found that because of such material noncompliance that the controlled insurer or any policyholder thereof has suffered any loss or damage, the Commission may order the controlling producer or any other party licensed under this title to make restitution to the controlled insurer or its statutory successor, including any rehabilitator, liquidator or receiver of the insurer, for the net losses or damages incurred by the insurer or its policyholders.C\n\nNothing contained in this section shall affect the right of the Commission to impose any other penalties provided for in this title.D\n\nNothing contained in this section is intended to or shall in any manner alter or affect the rights of policyholders, claimants, creditors or other third parties.","order_by":null,"text":{"0":{"id":282965,"text":"If the Commission finds, after providing an opportunity to be heard, that the controlling producer or any other person has not materially complied with the provisions of this article, or any regulation or order promulgated hereunder, the Commission may order the controlling producer to cease placing business with the controlled insurer.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":282966,"text":"If it is found that because of such material noncompliance that the controlled insurer or any policyholder thereof has suffered any loss or damage, the Commission may order the controlling producer or any other party licensed under this title to make restitution to the controlled insurer or its statutory successor, including any rehabilitator, liquidator or receiver of the insurer, for the net losses or damages incurred by the insurer or its policyholders.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":282967,"text":"Nothing contained in this section shall affect the right of the Commission to impose any other penalties provided for in this title.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B","next_prefix":"D"},"3":{"id":282968,"text":"Nothing contained in this section is intended to or shall in any manner alter or affect the rights of policyholders, claimants, creditors or other third parties.","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C"}},"ancestry":[{"id":16474,"edition_id":1,"name":"Business Transacted With Producer-Controlled Property and Casualty Insurer Act","identifier":"7","label":"article","depth":3,"order_by":1,"parent_id":13289,"metadata":{},"date_created":"2026-06-26 04:20:01","date_modified":"2026-06-26 04:20:01","permalink":{"id":211785,"object_type":"structure","relational_id":16474,"identifier":"7","token":"38.2\/13\/7","url":"\/38.2\/13\/7\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13289,"edition_id":1,"name":"Reports, Reserves and Examinations, Insurance Holding Companies, Reinsurance Intermediaries, and Managing General Agents","identifier":"13","label":"chapter","depth":2,"order_by":1,"parent_id":12698,"metadata":{},"date_created":"2026-06-26 03:44:35","date_modified":"2026-06-26 03:44:35","permalink":{"id":211347,"object_type":"structure","relational_id":13289,"identifier":"13","token":"38.2\/13","url":"\/38.2\/13\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12698,"edition_id":1,"name":"Insurance","identifier":"38.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":210661,"object_type":"structure","relational_id":12698,"identifier":"38.2","token":"38.2","url":"\/38.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":84358,"structure_id":16474,"section_number":"38.2-1341","catch_line":"Definitions","url":"\/38.2-1341\/","token":"38.2\/13\/7\/38.2-1341","metadata":false},{"id":71309,"structure_id":16474,"section_number":"38.2-1342","catch_line":"Applicability","url":"\/38.2-1342\/","token":"38.2\/13\/7\/38.2-1342","metadata":false},{"id":87325,"structure_id":16474,"section_number":"38.2-1343","catch_line":"Minimum standards","url":"\/38.2-1343\/","token":"38.2\/13\/7\/38.2-1343","metadata":false},{"id":78695,"structure_id":16474,"section_number":"38.2-1344","catch_line":"Disclosure","url":"\/38.2-1344\/","token":"38.2\/13\/7\/38.2-1344","metadata":false},{"id":79001,"structure_id":16474,"section_number":"38.2-1345","catch_line":"Penalties","url":"\/38.2-1345\/","token":"38.2\/13\/7\/38.2-1345","metadata":false},{"id":69357,"structure_id":16474,"section_number":"38.2-1346","catch_line":"Licensure","url":"\/38.2-1346\/","token":"38.2\/13\/7\/38.2-1346","metadata":false}],"previous_section":{"id":78695,"structure_id":16474,"section_number":"38.2-1344","catch_line":"Disclosure","url":"\/38.2-1344\/","token":"38.2\/13\/7\/38.2-1344","metadata":false},"next_section":{"id":69357,"structure_id":16474,"section_number":"38.2-1346","catch_line":"Licensure","url":"\/38.2-1346\/","token":"38.2\/13\/7\/38.2-1346","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-1345\/","history_text":"

This law was first created in 1993. The record of its establishment is cataloged in chapter 158 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1993 \u201cActs\u201d aren\u2019t available online.<\/p>","references":false,"refers_to":false,"permalink":{"id":211803,"object_type":"law","relational_id":79001,"identifier":"38.2-1345","token":"38.2\/13\/7\/38.2-1345","url":"\/38.2-1345\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-1345\/","token":"38.2\/13\/7\/38.2-1345","dublin_core":{"Title":"Penalties","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-1345","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> If the Commission<\/span> finds, after providing an opportunity to be heard, that the controlling producer<\/span> or any other person<\/span> has not materially complied with the provisions of this article, or any regulation or order<\/span> promulgated hereunder, the Commission<\/span> may order<\/span> the controlling producer<\/span> to cease placing business with the controlled insurer<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> If it is found that because of such material<\/span> noncompliance that the controlled insurer<\/span> or any policyholder thereof has suffered any loss or damage, the Commission<\/span> may order<\/span> the controlling producer<\/span> or any other party<\/span> licensed under this title to make restitution<\/span> to the controlled insurer<\/span> or its statutory successor, including any rehabilitator, liquidator or receiver of the insurer, for the net losses or damages<\/span> incurred by the insurer or its policyholders. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> Nothing contained in this section shall affect the right of the Commission<\/span> to impose any other penalties provided for in this title. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

D.<\/span> Nothing contained in this section is intended to or shall in any manner alter or affect the rights of policyholders, claimants, creditors<\/span> or other third parties. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nPENALTIES (\u00a7 38.2-1345)\n\nA. If the Commission finds, after providing an opportunity to be heard, that the\ncontrolling producer or any other person has not materially complied with the\nprovisions of this article, or any regulation or order promulgated hereunder,\nthe Commission may order the controlling producer to cease placing business with\nthe controlled insurer.\n\nB. If it is found that because of such material noncompliance that the\ncontrolled insurer or any policyholder thereof has suffered any loss or damage,\nthe Commission may order the controlling producer or any other party licensed\nunder this title to make restitution to the controlled insurer or its statutory\nsuccessor, including any rehabilitator, liquidator or receiver of the insurer,\nfor the net losses or damages incurred by the insurer or its policyholders.\n\nC. Nothing contained in this section shall affect the right of the Commission to\nimpose any other penalties provided for in this title.\n\nD. Nothing contained in this section is intended to or shall in any manner alter\nor affect the rights of policyholders, claimants, creditors or other third\nparties.\n\nHISTORY: 1993, c. 158.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}