The Commissioner of Insurance finds that a producer willfully violated a provision of Chapter 58 and orders a civil penalty. Under G.S. 58-2-70, what penalty may be ordered, and how is a continuing violation treated?

Why A is correct

Under G.S. 58-2-70(d), the Commissioner may order a civil penalty of not more than $1,000 nor less than $100 per violation of Chapter 58, in addition to or instead of suspending or revoking a license. Subsection (e) provides that each day of a continuing violation constitutes a separate violation, so the penalty multiplies across the days the conduct persists. Restitution may also be pursued through Wake County Superior Court.

Why the other options are wrong

• B) The $1,000 to $5,000 range applies to willful violation of a cease-and-desist order under a different statute, not to the general civil penalty for a Chapter 58 violation.
• C) The $2,000 to $10,000 range is the court fine imposed on an entity for willful false statements, and continuing conduct counts per day, not as one violation.
• D) There is no flat fine; the statute sets a per-violation range of $100 to $1,000 and treats each day of continuation as a new violation.

Memory hook

General civil penalty: $100 to $1,000, and every day is a fresh violation.