Final answer:
In Pennsylvania, the Insurance Code is enforced by the Pennsylvania Insurance Department, and the Commissioner has the authority to assess penalties for violations. The amount of the penalty depends on the nature and severity of the violation.
Step-by-step explanation:
In Pennsylvania, the Insurance Code is governed by the Pennsylvania Insurance Department, which is responsible for regulating insurance companies and protecting consumers from unfair practices. If an insurance company violates the Insurance Code, the Commissioner has the authority to assess penalties and fines.
The Commissioner may assess a penalty for each violation, with the amount depending on the nature and severity of the violation. The penalty can range from a few hundred dollars to thousands of dollars.
For example, if an insurance company fails to provide proper notice to policyholders regarding a change in coverage, the Commissioner may assess a penalty of $500 for each violation. If the violation is more serious, such as fraud or embezzlement, the penalty may be much higher.