In response to consumer complaints received by the department concerning statements made regarding premium increases, a bulletin has been reissued to remind those engaged in the practice of insurance that it is illegal to make false, deceptive or misleading statements regarding insurance. The bulletin advises insurance professionals that any misrepresentation of any provision of the Delaware Code is punishable by a penalty of up to $10,000 for each violation, and revocation of an individual's license if the person knows they are violating Delaware law.

The department continues to receive complaints from consumers who have asked about reasons for premium increases and who have been told by producers, insurers and other industry professionals that the department required the insurer to increase the rates. When questioned about premium increases, the department expects producers to obtain full explanations of the premium increases from insurers and provide that information to the insureds. Any explanation to consumers that implies that the department is responsible or the cause of premium increases is a violation of 18 Del. C.§2304(2) and will be prosecuted accordingly. A copy of the bulletin may be found here.