HOUSE BILL No. 6238

 

June 21, 2006, Introduced by Reps. Kahn, Hune and David Law and referred to the Committee on Insurance.

 

     A bill to amend 1956 PA 218, entitled

 

"The insurance code of 1956,"

 

by amending section 4511 (MCL 500.4511), as added by 1995 PA 276.

 

THE PEOPLE OF THE STATE OF MICHIGAN ENACT:

 

     Sec. 4511. (1) A person who commits a fraudulent insurance act

 

under section 4503 is guilty of a felony punishable by imprisonment

 

for not more than  4  8 years or a fine of not more than  

 

$50,000.00  $100,000.00, or both, and shall be ordered to pay

 

restitution as provided in section 1a of chapter IX of the code of

 

criminal procedure,  Act No. 175 of the Public Acts of 1927, being

 

section 769.1a of the Michigan Compiled Laws  1927 PA 175, MCL

 

769.1a, and in the William Van Regenmorter crime victim's rights

 

act,  Act No. 87 of the Public Acts of 1985, being sections 780.751

 

to 780.834 of the Michigan Compiled Laws  1985 PA 87, MCL 780.751

 


to 780.834.

 

     (2) A person who enters into an agreement or conspiracy to

 

commit a fraudulent insurance act under section 4503 is guilty of a

 

felony, punishable by imprisonment for not more than  10  20 years

 

or by a fine of not more than  $50,000.00  $100,000.00, or both,

 

and shall be ordered to pay restitution as provided in section 1a

 

of chapter IX of the code of criminal procedure,  Act No. 175 of

 

the Public Acts of 1927, being section 769.1a of the Michigan

 

Compiled Laws  1927 PA 175, MCL 769.1a, and in the William Van

 

Regenmorter crime victim's rights act,  Act No. 87 of the Public

 

Acts of 1985, being sections 780.751 to 780.834 of the Michigan

 

Compiled Laws  1985 PA 87, MCL 780.751 to 780.834.

 

     (3) If the court finds a practitioner or insurer responsible

 

for or guilty of a fraudulent insurance act under section 4503, the

 

court shall notify the appropriate licensing authority in this

 

state of the adjudication.