What potential action can the Insurance Department take if Pennsylvania insurance laws are violated?

The Insurance Department can issue a cease and desist order after a hearing if Pennsylvania insurance laws are violated. This action involves a formal process that allows for both sides to present their case in front of a hearing officer. If it is determined that a violation has occurred, the department can then prohibit the violator from continuing that unlawful activity. This approach serves not only to protect the consumer but also upholds the integrity of the insurance market.

While immediate fines or license cancellations may seem like viable options, they typically require a more immediate or severe set of circumstances and due process may be necessary for such actions. A public warning could serve as an initial notice but lacks the enforcement mechanism that a cease and desist order provides. Therefore, the cease and desist order after a hearing is an appropriate action that ensures fairness and due process while addressing violations of insurance laws in Pennsylvania.