If the Commissioner finds violations related to complaint handling, what actions may be taken?

• A. The Commissioner may require regular reports, hold hearings, and take other actions including cease and desist orders.
• B. The Commissioner must revoke the insurer's license immediately.
• C. The Commissioner can only issue a warning and no further action.
• D. The Commissioner must conduct a criminal investigation.

Answer: (A)

Complaint-handling violations trigger the Commissioner's broad administrative enforcement authority to protect consumers and ensure proper practices. The Commissioner can require ongoing monitoring by demanding regular reports to see that corrective steps are being followed. He or she can hold hearings to determine facts, gather evidence, and decide on appropriate remedies. And the Commissioner can take other strong actions, such as issuing cease and desist orders to stop the improper practices immediately while the case is being resolved. These tools are designed to correct behavior and prevent harm, not to automatically result in license revocation or rely on criminal proceedings. While license revocation or other penalties may occur in appropriate situations, they are not the sole or immediate remedy in response to complaint-handling violations.