Pennsylvania Laws and Rules Practice Test 2025 - Free Pennsylvania Legal Practice Questions and Study Guide

The correct choice reflects the authority given to the Commissioner under the Pennsylvania Insurance Code to assess administrative penalties for violations. Administrative penalties are monetary fines imposed as a consequence of violating specific statutes or regulations. These penalties serve as a way to enforce compliance with the law and deter future violations.

The Pennsylvania Insurance Code outlines various regulatory powers of the Insurance Commissioner, including the ability to impose administrative penalties to encourage adherence to insurance laws. This mechanism allows the regulatory body to respond effectively to non-compliance while maintaining the integrity of the insurance market.

In contrast, civil penalties are typically imposed through a court verdict rather than by an administrative agency like the Insurance Department. A criminal fine would require a criminal conviction and pertains to offenses classified as crimes, which is outside the jurisdiction of administrative actions for code violations. Lastly, while the suspension of a license is a possible disciplinary action, it is typically a separate process related to licensing issues rather than directly assessing penalties for violations. Thus, the choice aligning with administrative penalties is the most fitting in the context of the question.