State Codes and Statutes

State Codes and Statutes

Statutes > Nebraska > Chapter44 > 44-5706

44-5706. Enforcement of act; powers and duties; construction of section.(1) If the director believes that the controlling producer or any other person has not materially complied with the Producer-Controlled Property and Casualty Insurer Act or any rule or regulation or order after notice and opportunity to be heard, the director may order the controlling producer to cease placing business with the controlled insurer. If it is found that because of such material noncompliance that the controlled insurer or any policyholder has suffered any loss or damage, the director may maintain a civil action or intervene in an action brought by or on behalf of the controlled insurer or policyholder for recovery of compensatory damages for the benefit of the controlled insurer or policyholder or other appropriate relief.(2) If an order for liquidation or rehabilitation of the controlled insurer has been entered pursuant to the Nebraska Insurers Supervision, Rehabilitation, and Liquidation Act and the receiver appointed under the order believes that the controlling producer or any other person has not materially complied with the Producer-Controlled Property and Casualty Insurer Act or any rule or regulation or order and the controlled insurer suffered any loss or damage therefrom, the receiver may maintain a civil action for recovery of damages or other appropriate sanctions for the benefit of the controlled insurer.(3) This section shall not affect the right of the director to impose any other penalties provided for in Chapter 44.(4) This section is not intended to and shall not in any manner alter or affect the rights of policyholders, claimants, creditors, or other third parties. SourceLaws 1992, LB 1006, § 73. Cross ReferencesNebraska Insurers Supervision, Rehabilitation, and Liquidation Act, see section 44-4862.