IC 27-4-6
Chapter 6. Unauthorized Insurers False Advertising Process Act
IC 27-4-6-1 Purpose; liberal construction
Sec. 1. (a) The purpose of this chapter is to subject to the
jurisdiction of the insurance commissioner of this state and to the
jurisdiction of the courts of this state insurers, not authorized to
transact business in this state, which place in or send into this state
any false advertising designed to induce residents of this state to
purchase insurance from insurers not authorized to transact business
in this state. The legislature declares it is in the interest of the
citizens of this state who purchase insurance from insurers which
solicit insurance business in this state in the manner set forth in the
preceding sentence that such insurers be subject to the provisions of
this chapter. In furtherance of such state interest, the legislature
provides in this chapter a method of substituted service of process
upon such insurers and declares that in so doing, it exercises its
power to protect its residents and also exercises powers and
privileges available to the state by virtue of 15 U.S.C. 1011 et seq.,
which declares that the business of insurance and every person
engaged therein shall be subject to the laws of the several states; the
authority provided in this chapter to be in addition to any other
powers of this state.
(b) The provisions of this chapter shall be liberally construed. (Formerly: Acts 1963, c.163, s.1.) As amended by P.L.252-1985,
SEC.170.
IC 27-4-6-2 Definitions
Sec. 2. When used in this chapter:
"Commissioner" shall mean the commissioner of insurance of this
state.
"Residents" shall mean and include person, partnership, limited
liability company, or corporation, domestic, alien, or foreign. (Formerly: Acts 1963, c.163, s.2.) As amended by P.L.252-1985,
SEC.171; P.L.8-1993, SEC.419.
IC 27-4-6-3 Advertising in violation of Unfair Trade Practice Act by
unauthorized foreign or alien insurer; notice to insurer and
supervisory official of domiciliary state
Sec. 3. No unauthorized foreign or alien insurer of the kind
described in section 1 of this chapter shall make, issue, circulate, or
cause to be made, issued, or circulated, to residents of this state any
estimate, illustration, circular, pamphlet, or letter, or cause to be
made in any newspaper, magazine, or other publication or over any
radio or television station, any announcement or statement to such
residents misrepresenting its financial condition or the terms of any
contracts issued or to be issued or the benefits or advantages
promised thereby, or the dividends or share of the surplus to be
received thereon in violation of IC 27-4-1, and whenever the
commissioner shall have reason to believe that any such insurer is
engaging in such unlawful advertising, he shall give notice of such
fact by registered mail to such insurer and to the insurance
supervisory official of the domiciliary state of such insurer. For the
purpose of this section, the domiciliary state of an alien insurer shall
be deemed to be the state of entry or the state of the principal office
in the United States. (Formerly: Acts 1963, c.163, s.3.) As amended by P.L.252-1985,
SEC.172.
IC 27-4-6-4 Failure of unauthorized foreign or alien insurer to cease unlawful
advertising after notice; action under Unfair Trade Practice Act
Sec. 4. If after thirty (30) days following the giving of the notice
mentioned in section 3 of this chapter such insurer has failed to cease
making, issuing, or circulating such misrepresentations or causing the
same to be made, issued, or circulated in this state, and if the
commissioner has reason to believe that a proceeding by him in
respect to such matters would be to the interest of the public, and that
such insurer is issuing or delivering contracts of insurance to
residents of this state or collecting premiums on such contracts or
doing any of the acts enumerated in section 5 of this chapter, he shall
take action against such insurer under IC 27-4-1. (Formerly: Acts 1963, c.163, s.4.) As amended by P.L.252-1985,
SEC.173.
IC 27-4-6-5 Acts of unauthorized foreign or alien insurer appointing
commissioner as attorney for service of process; method of service
Sec. 5. (a) Any of the following acts in this state, effected by mail
or otherwise, by any such unauthorized foreign or alien insurer:
(1) the issuance or delivery of contracts of insurance to
residents of this state;
(2) the solicitation of applications for such contracts;
(3) the collection of premiums, membership fees, assessments
or other considerations for such contracts; or
(4) any other transaction of insurance business;
is equivalent to and shall constitute an appointment by such insurer
of the commissioner of insurance, and his successor or successors in
office, to be its true and lawful attorney, upon whom may be served
all statements of charges, notices and lawful process in any
proceeding instituted in respect to the misrepresentations set forth in
section 3 of this chapter under the provisions of IC 27-4-1 or in any
action, suit, or proceeding for the recovery of any penalty therein
provided, and any such act shall be signification of its agreement that
such service of statement of charges, notices, or process is of the
same legal force and validity as personal service of such statement
of charges, notices, or process in this state, upon such insurer.
(b) Service of a statement of charges and notices under IC 27-4-1
shall be made by any deputy or employee of the department of
insurance delivering to and leaving with the commissioner or some
person in apparent charge of his office, two (2) copies thereof.
Service of process issued by any court in any action, suit, or
proceeding to collect any penalty under IC 27-4-1 shall be made by
delivering and leaving with the commissioner, or some person in
apparent charge of his office, two (2) copies thereof. The
commissioner shall forthwith cause to be mailed by registered mail
one (1) of the copies of such statement of charges, notices, or process
to the defendant at its last known principal place of business, and
shall keep a record of all statements of charges, notices, and process
so served. Such service of statement of charges, notices, or process
shall be sufficient provided they shall have been so mailed and the
defendant's receipt or receipt issued by the post office with which the
letter is registered, showing the name of the sender of the letter and
the name and address of the person to whom the letter is addressed,
and the affidavit of the person mailing such letter showing a
compliance with this section are filed with the commissioner in the
case of any statement of charges or notices, or with the clerk of the
court in which such action is pending in the case of any process, on
or before the date the defendant is required to appear or within such
further time as may be allowed.
(c) Service of statement of charges, notices, and process in any
such proceeding, action, or suit shall, in addition to the manner
provided in subsection (b), be valid if served upon any person within
this state who on behalf of such insurer is:
(1) soliciting insurance;
(2) making, issuing, or delivering any contract of insurance; or
(3) collecting or receiving in this state any premium for
insurance;
and a copy of such statement of charges, notices, or process is sent
within ten (10) days thereafter by registered mail by or on behalf of
the commissioner to the defendant at the last known principal place
of business of the defendant, and the defendant's receipt, or the
receipt issued by the post office with which the letter is registered,
showing the name of the sender of the letter, the name and address
of the person to whom the letter is addressed, and the affidavit of the
person mailing the same showing a compliance with this section are
filed with the commissioner in the case of any statement of charges
or notices, or with the clerk of the court in which such action is
pending in the case of any process, on or before the date the
defendant is required to appear or within such further time as the
court may allow.
(d) No cease or desist order or judgment by default or a judgment
by confession under this section shall be entered until the expiration
of thirty (30) days from the date of the filing of the affidavit of
compliance.
(e) Service of process and notice under the provisions of this
chapter shall be in addition to all other methods of service provided
by law, and nothing in this chapter shall limit or prohibit the right to
serve any statement of charges, notices, or process upon any insurer
in any other manner permitted by law. (Formerly: Acts 1963, c.163, s.5.) As amended by P.L.252-1985,
SEC.174.
IC 27-4-6-6 Short title
Sec. 6. This chapter may be cited as the Unauthorized Insurers
False Advertising Process Act. (Formerly: Acts 1963, c.163, s.7.) As amended by P.L.252-1985,
SEC.175.
IC 27-4-6
Chapter 6. Unauthorized Insurers False Advertising Process Act
IC 27-4-6-1 Purpose; liberal construction
Sec. 1. (a) The purpose of this chapter is to subject to the
jurisdiction of the insurance commissioner of this state and to the
jurisdiction of the courts of this state insurers, not authorized to
transact business in this state, which place in or send into this state
any false advertising designed to induce residents of this state to
purchase insurance from insurers not authorized to transact business
in this state. The legislature declares it is in the interest of the
citizens of this state who purchase insurance from insurers which
solicit insurance business in this state in the manner set forth in the
preceding sentence that such insurers be subject to the provisions of
this chapter. In furtherance of such state interest, the legislature
provides in this chapter a method of substituted service of process
upon such insurers and declares that in so doing, it exercises its
power to protect its residents and also exercises powers and
privileges available to the state by virtue of 15 U.S.C. 1011 et seq.,
which declares that the business of insurance and every person
engaged therein shall be subject to the laws of the several states; the
authority provided in this chapter to be in addition to any other
powers of this state.
(b) The provisions of this chapter shall be liberally construed. (Formerly: Acts 1963, c.163, s.1.) As amended by P.L.252-1985,
SEC.170.
IC 27-4-6-2 Definitions
Sec. 2. When used in this chapter:
"Commissioner" shall mean the commissioner of insurance of this
state.
"Residents" shall mean and include person, partnership, limited
liability company, or corporation, domestic, alien, or foreign. (Formerly: Acts 1963, c.163, s.2.) As amended by P.L.252-1985,
SEC.171; P.L.8-1993, SEC.419.
IC 27-4-6-3 Advertising in violation of Unfair Trade Practice Act by
unauthorized foreign or alien insurer; notice to insurer and
supervisory official of domiciliary state
Sec. 3. No unauthorized foreign or alien insurer of the kind
described in section 1 of this chapter shall make, issue, circulate, or
cause to be made, issued, or circulated, to residents of this state any
estimate, illustration, circular, pamphlet, or letter, or cause to be
made in any newspaper, magazine, or other publication or over any
radio or television station, any announcement or statement to such
residents misrepresenting its financial condition or the terms of any
contracts issued or to be issued or the benefits or advantages
promised thereby, or the dividends or share of the surplus to be
received thereon in violation of IC 27-4-1, and whenever the
commissioner shall have reason to believe that any such insurer is
engaging in such unlawful advertising, he shall give notice of such
fact by registered mail to such insurer and to the insurance
supervisory official of the domiciliary state of such insurer. For the
purpose of this section, the domiciliary state of an alien insurer shall
be deemed to be the state of entry or the state of the principal office
in the United States. (Formerly: Acts 1963, c.163, s.3.) As amended by P.L.252-1985,
SEC.172.
IC 27-4-6-4 Failure of unauthorized foreign or alien insurer to cease unlawful
advertising after notice; action under Unfair Trade Practice Act
Sec. 4. If after thirty (30) days following the giving of the notice
mentioned in section 3 of this chapter such insurer has failed to cease
making, issuing, or circulating such misrepresentations or causing the
same to be made, issued, or circulated in this state, and if the
commissioner has reason to believe that a proceeding by him in
respect to such matters would be to the interest of the public, and that
such insurer is issuing or delivering contracts of insurance to
residents of this state or collecting premiums on such contracts or
doing any of the acts enumerated in section 5 of this chapter, he shall
take action against such insurer under IC 27-4-1. (Formerly: Acts 1963, c.163, s.4.) As amended by P.L.252-1985,
SEC.173.
IC 27-4-6-5 Acts of unauthorized foreign or alien insurer appointing
commissioner as attorney for service of process; method of service
Sec. 5. (a) Any of the following acts in this state, effected by mail
or otherwise, by any such unauthorized foreign or alien insurer:
(1) the issuance or delivery of contracts of insurance to
residents of this state;
(2) the solicitation of applications for such contracts;
(3) the collection of premiums, membership fees, assessments
or other considerations for such contracts; or
(4) any other transaction of insurance business;
is equivalent to and shall constitute an appointment by such insurer
of the commissioner of insurance, and his successor or successors in
office, to be its true and lawful attorney, upon whom may be served
all statements of charges, notices and lawful process in any
proceeding instituted in respect to the misrepresentations set forth in
section 3 of this chapter under the provisions of IC 27-4-1 or in any
action, suit, or proceeding for the recovery of any penalty therein
provided, and any such act shall be signification of its agreement that
such service of statement of charges, notices, or process is of the
same legal force and validity as personal service of such statement
of charges, notices, or process in this state, upon such insurer.
(b) Service of a statement of charges and notices under IC 27-4-1
shall be made by any deputy or employee of the department of
insurance delivering to and leaving with the commissioner or some
person in apparent charge of his office, two (2) copies thereof.
Service of process issued by any court in any action, suit, or
proceeding to collect any penalty under IC 27-4-1 shall be made by
delivering and leaving with the commissioner, or some person in
apparent charge of his office, two (2) copies thereof. The
commissioner shall forthwith cause to be mailed by registered mail
one (1) of the copies of such statement of charges, notices, or process
to the defendant at its last known principal place of business, and
shall keep a record of all statements of charges, notices, and process
so served. Such service of statement of charges, notices, or process
shall be sufficient provided they shall have been so mailed and the
defendant's receipt or receipt issued by the post office with which the
letter is registered, showing the name of the sender of the letter and
the name and address of the person to whom the letter is addressed,
and the affidavit of the person mailing such letter showing a
compliance with this section are filed with the commissioner in the
case of any statement of charges or notices, or with the clerk of the
court in which such action is pending in the case of any process, on
or before the date the defendant is required to appear or within such
further time as may be allowed.
(c) Service of statement of charges, notices, and process in any
such proceeding, action, or suit shall, in addition to the manner
provided in subsection (b), be valid if served upon any person within
this state who on behalf of such insurer is:
(1) soliciting insurance;
(2) making, issuing, or delivering any contract of insurance; or
(3) collecting or receiving in this state any premium for
insurance;
and a copy of such statement of charges, notices, or process is sent
within ten (10) days thereafter by registered mail by or on behalf of
the commissioner to the defendant at the last known principal place
of business of the defendant, and the defendant's receipt, or the
receipt issued by the post office with which the letter is registered,
showing the name of the sender of the letter, the name and address
of the person to whom the letter is addressed, and the affidavit of the
person mailing the same showing a compliance with this section are
filed with the commissioner in the case of any statement of charges
or notices, or with the clerk of the court in which such action is
pending in the case of any process, on or before the date the
defendant is required to appear or within such further time as the
court may allow.
(d) No cease or desist order or judgment by default or a judgment
by confession under this section shall be entered until the expiration
of thirty (30) days from the date of the filing of the affidavit of
compliance.
(e) Service of process and notice under the provisions of this
chapter shall be in addition to all other methods of service provided
by law, and nothing in this chapter shall limit or prohibit the right to
serve any statement of charges, notices, or process upon any insurer
in any other manner permitted by law. (Formerly: Acts 1963, c.163, s.5.) As amended by P.L.252-1985,
SEC.174.
IC 27-4-6-6 Short title
Sec. 6. This chapter may be cited as the Unauthorized Insurers
False Advertising Process Act. (Formerly: Acts 1963, c.163, s.7.) As amended by P.L.252-1985,
SEC.175.
IC 27-4-6
Chapter 6. Unauthorized Insurers False Advertising Process Act
IC 27-4-6-1 Purpose; liberal construction
Sec. 1. (a) The purpose of this chapter is to subject to the
jurisdiction of the insurance commissioner of this state and to the
jurisdiction of the courts of this state insurers, not authorized to
transact business in this state, which place in or send into this state
any false advertising designed to induce residents of this state to
purchase insurance from insurers not authorized to transact business
in this state. The legislature declares it is in the interest of the
citizens of this state who purchase insurance from insurers which
solicit insurance business in this state in the manner set forth in the
preceding sentence that such insurers be subject to the provisions of
this chapter. In furtherance of such state interest, the legislature
provides in this chapter a method of substituted service of process
upon such insurers and declares that in so doing, it exercises its
power to protect its residents and also exercises powers and
privileges available to the state by virtue of 15 U.S.C. 1011 et seq.,
which declares that the business of insurance and every person
engaged therein shall be subject to the laws of the several states; the
authority provided in this chapter to be in addition to any other
powers of this state.
(b) The provisions of this chapter shall be liberally construed. (Formerly: Acts 1963, c.163, s.1.) As amended by P.L.252-1985,
SEC.170.
IC 27-4-6-2 Definitions
Sec. 2. When used in this chapter:
"Commissioner" shall mean the commissioner of insurance of this
state.
"Residents" shall mean and include person, partnership, limited
liability company, or corporation, domestic, alien, or foreign. (Formerly: Acts 1963, c.163, s.2.) As amended by P.L.252-1985,
SEC.171; P.L.8-1993, SEC.419.
IC 27-4-6-3 Advertising in violation of Unfair Trade Practice Act by
unauthorized foreign or alien insurer; notice to insurer and
supervisory official of domiciliary state
Sec. 3. No unauthorized foreign or alien insurer of the kind
described in section 1 of this chapter shall make, issue, circulate, or
cause to be made, issued, or circulated, to residents of this state any
estimate, illustration, circular, pamphlet, or letter, or cause to be
made in any newspaper, magazine, or other publication or over any
radio or television station, any announcement or statement to such
residents misrepresenting its financial condition or the terms of any
contracts issued or to be issued or the benefits or advantages
promised thereby, or the dividends or share of the surplus to be
received thereon in violation of IC 27-4-1, and whenever the
commissioner shall have reason to believe that any such insurer is
engaging in such unlawful advertising, he shall give notice of such
fact by registered mail to such insurer and to the insurance
supervisory official of the domiciliary state of such insurer. For the
purpose of this section, the domiciliary state of an alien insurer shall
be deemed to be the state of entry or the state of the principal office
in the United States. (Formerly: Acts 1963, c.163, s.3.) As amended by P.L.252-1985,
SEC.172.
IC 27-4-6-4 Failure of unauthorized foreign or alien insurer to cease unlawful
advertising after notice; action under Unfair Trade Practice Act
Sec. 4. If after thirty (30) days following the giving of the notice
mentioned in section 3 of this chapter such insurer has failed to cease
making, issuing, or circulating such misrepresentations or causing the
same to be made, issued, or circulated in this state, and if the
commissioner has reason to believe that a proceeding by him in
respect to such matters would be to the interest of the public, and that
such insurer is issuing or delivering contracts of insurance to
residents of this state or collecting premiums on such contracts or
doing any of the acts enumerated in section 5 of this chapter, he shall
take action against such insurer under IC 27-4-1. (Formerly: Acts 1963, c.163, s.4.) As amended by P.L.252-1985,
SEC.173.
IC 27-4-6-5 Acts of unauthorized foreign or alien insurer appointing
commissioner as attorney for service of process; method of service
Sec. 5. (a) Any of the following acts in this state, effected by mail
or otherwise, by any such unauthorized foreign or alien insurer:
(1) the issuance or delivery of contracts of insurance to
residents of this state;
(2) the solicitation of applications for such contracts;
(3) the collection of premiums, membership fees, assessments
or other considerations for such contracts; or
(4) any other transaction of insurance business;
is equivalent to and shall constitute an appointment by such insurer
of the commissioner of insurance, and his successor or successors in
office, to be its true and lawful attorney, upon whom may be served
all statements of charges, notices and lawful process in any
proceeding instituted in respect to the misrepresentations set forth in
section 3 of this chapter under the provisions of IC 27-4-1 or in any
action, suit, or proceeding for the recovery of any penalty therein
provided, and any such act shall be signification of its agreement that
such service of statement of charges, notices, or process is of the
same legal force and validity as personal service of such statement
of charges, notices, or process in this state, upon such insurer.
(b) Service of a statement of charges and notices under IC 27-4-1
shall be made by any deputy or employee of the department of
insurance delivering to and leaving with the commissioner or some
person in apparent charge of his office, two (2) copies thereof.
Service of process issued by any court in any action, suit, or
proceeding to collect any penalty under IC 27-4-1 shall be made by
delivering and leaving with the commissioner, or some person in
apparent charge of his office, two (2) copies thereof. The
commissioner shall forthwith cause to be mailed by registered mail
one (1) of the copies of such statement of charges, notices, or process
to the defendant at its last known principal place of business, and
shall keep a record of all statements of charges, notices, and process
so served. Such service of statement of charges, notices, or process
shall be sufficient provided they shall have been so mailed and the
defendant's receipt or receipt issued by the post office with which the
letter is registered, showing the name of the sender of the letter and
the name and address of the person to whom the letter is addressed,
and the affidavit of the person mailing such letter showing a
compliance with this section are filed with the commissioner in the
case of any statement of charges or notices, or with the clerk of the
court in which such action is pending in the case of any process, on
or before the date the defendant is required to appear or within such
further time as may be allowed.
(c) Service of statement of charges, notices, and process in any
such proceeding, action, or suit shall, in addition to the manner
provided in subsection (b), be valid if served upon any person within
this state who on behalf of such insurer is:
(1) soliciting insurance;
(2) making, issuing, or delivering any contract of insurance; or
(3) collecting or receiving in this state any premium for
insurance;
and a copy of such statement of charges, notices, or process is sent
within ten (10) days thereafter by registered mail by or on behalf of
the commissioner to the defendant at the last known principal place
of business of the defendant, and the defendant's receipt, or the
receipt issued by the post office with which the letter is registered,
showing the name of the sender of the letter, the name and address
of the person to whom the letter is addressed, and the affidavit of the
person mailing the same showing a compliance with this section are
filed with the commissioner in the case of any statement of charges
or notices, or with the clerk of the court in which such action is
pending in the case of any process, on or before the date the
defendant is required to appear or within such further time as the
court may allow.
(d) No cease or desist order or judgment by default or a judgment
by confession under this section shall be entered until the expiration
of thirty (30) days from the date of the filing of the affidavit of
compliance.
(e) Service of process and notice under the provisions of this
chapter shall be in addition to all other methods of service provided
by law, and nothing in this chapter shall limit or prohibit the right to
serve any statement of charges, notices, or process upon any insurer
in any other manner permitted by law. (Formerly: Acts 1963, c.163, s.5.) As amended by P.L.252-1985,
SEC.174.
IC 27-4-6-6 Short title
Sec. 6. This chapter may be cited as the Unauthorized Insurers
False Advertising Process Act. (Formerly: Acts 1963, c.163, s.7.) As amended by P.L.252-1985,
SEC.175.
