(a)

1. (1) An insurer is responsible for compliance with this part.

2. (2) If a violation occurs, either because of the action or inaction of the insurer or its producer, the Insurance Commissioner may order:

   1. (A) An insurer to take reasonably appropriate corrective action for any consumer harmed by a failure to comply with this part by:

(i) The insurer;

1. (ii) An entity contracted to perform the insurer's supervisory duties; or

   1. (iii) The producer;
   2. (B) A general agency, independent agency, or the producer to take reasonably appropriate corrective action for any consumer harmed by the producer's violation of this part; and
   3. (C) Appropriate penalties and sanctions.

(b) Any applicable penalty under the Trade Practices Act, Arkansas Code § 23-66-201 et seq., for a violation of this part may be reduced or eliminated if:

1. (1) Corrective action for the consumer was taken promptly after a violation was discovered; or

2. (2) The violation was not part of a pattern or practice.

   1. (c) The authority to enforce compliance with this part is vested exclusively with the commissioner.