Hawaii Insurance License Practice Exam

Question: 1 / 400

What is the minimum fine per violation of the Insurance Code?

$50

$100

The minimum fine per violation of the Insurance Code is set at $100 to ensure there are enforceable consequences for violations within the insurance industry. This amount reflects the seriousness of adherence to regulations that govern insurance practices, and it serves as a deterrent against non-compliance. By establishing a financial penalty at this threshold, the law underscores the importance of maintaining ethical standards and protecting consumers.

In comparison, lower fines might not adequately emphasize the significance of compliance, while higher fines could potentially be disproportionate for minor infractions. Thus, the determination of $100 strikes a balance that both penalizes misconduct and encourages adherence to insurance regulations. This context helps maintain a robust regulatory environment that benefits all stakeholders involved.

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$200

$500

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