PRINTER'S NO. 726
No. 647 Session of 1975
INTRODUCED BY A. K. HUTCHINSON, TOLL, ZEARFOSS, ROMANELLI,
SCHMITT, GILLETTE, BARBER, TRELLO, COHEN AND STAHL,
MARCH 4, 1975
REFERRED TO COMMITTEE ON CONSUMER PROTECTION, MARCH 5, 1975
AN ACT
1 Amending the act of May 17, 1921 (P.L.789, No.285), entitled, as
2 amended, "An act relating to insurance; establishing an
3 insurance department; and amending, revising, and
4 consolidating the law relating to the licensing,
5 qualification, regulation, examination, suspension, and
6 dissolution of insurance companies, Lloyds associations,
7 reciprocal and inter-insurance exchanges, and certain
8 societies and orders, the examination and regulation of fire
9 insurance rating bureaus, and the licensing and regulation of
10 insurance agents and brokers; the service of legal process
11 upon foreign insurance companies, associations or exchanges;
12 providing penalties, and repealing existing laws," empowering
13 and authorizing the Insurance Commissioner or a deputy to
14 proceed to prohibit and restrain certain persons and entities
15 from transacting business as an agent or solicitor without
16 being properly licensed and providing for the procedure and
17 conditions for an injunction or other process.
18 The General Assembly of the Commonwealth of Pennsylvania
19 hereby enacts as follows:
20 Section 1. Article VI, act of May 17, 1921 (P.L.789,
21 No.285), known as "The Insurance Department Act of one thousand
22 nine hundred and twenty-one," is amended by adding a subdivision
23 and sections to read:
24 ARTICLE VI
25 AGENTS AND BROKERS.
1 * * *
2 (e) INJUNCTION OR OTHER PROCESS AGAINST UNLICENSED
3 ACTIVITIES.
4 Section 660. Action for Injunction or Other Process
5 Authorized.--The Insurance Commissioner or a duly designated
6 deputy, upon advice of the Attorney General, may maintain as
7 hereinafter provided an action in the name of the Commonwealth
8 for an injunction or other process against any person,
9 partnership, copartnership, association, company, corporation or
10 other entity to restrain and prevent any of the foregoing from
11 transacting business as an agent or solicitor of any insurance
12 company, association or exchange or as an insurance broker or as
13 a manager or exclusive general agent of a domestic insurance
14 company, association or exchange without a license whenever a
15 license to engage in aforementioned activities is required by
16 law and such licenses are issued by the Insurance Commissioner.
17 Section 661. Venue, Temporary Order; Prompt Determination.--
18 Any such action shall be instituted in the court of common pleas
19 in any county where the alleged unlicensed activity was
20 committed. Such court may issue a temporary restraining order or
21 injunction under this act but shall determine any such action on
22 its merits as soon as possible whether in term time or in
23 vacation.
24 Section 662. Bonds and Costs.--No bond shall be required of
25 and no costs shall be taxed against the Insurance Commissioner,
26 his duly designated deputy or the Insurance Department on
27 account of any such action.
28 Section 663. Act Supplementary.--The provisions of this act
29 shall be construed as supplementary to all other acts dealing
30 with the same subject matter. No action brought under the
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1 provisions of this act shall prevent the prosecution or
2 institution of any civil or criminal action otherwise provided
3 by law for violation of any licensing act or departmental rule
4 or regulation promulgated thereunder.
5 Section 2. This act shall take effect immediately.
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