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State RegulationsOH specificDifficulty 1/5

Following a hearing, the superintendent imposes an administrative civil penalty on an Ohio producer for violating insurance law. Under ORC 3905.14(E)(1), what is the maximum penalty per violation?

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Answer & full 3-part explanation (select an option above, or peek)

Why B is correct

ORC 3905.14(E)(1) authorizes the superintendent, after hearing, to impose a civil penalty of up to $25,000 per violation, in addition to administrative costs, suspension, revocation, or other sanctions. This is the administrative penalty, which must not be confused with the separate court-ordered penalties under ORC 3901.22(F).

Why the other options are wrong

  • A) $10,000 is the court penalty for violating a cease-and-desist order under ORC 3901.22(F)(2), not the superintendent's per-violation administrative maximum.
  • C) $35,000 is the six-month aggregate cap on court penalties for unfair practices under ORC 3901.22(F)(1), a different regime.
  • D) $100,000 is the maximum payment to the Department's operating fund under an ORC 3901.22(D) order, not the per-violation administrative penalty.

Memory hook

The superintendent's number is 25.

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