This publish is a part of a sequence sponsored by AgentSync.

Having a felony cost or conviction in a single’s background could make issues harder for a licensed insurance coverage producer. Nevertheless, it doesn’t all the time must imply the tip of a profession, so long as you comply with your state’s procedures for reporting the brand new historical past. It’s finest to begin along with your resident state, however don’t neglect to inform all states the place you maintain a nonresident license as nicely.

That will help you fulfill your reporting obligations, we’ve created this state-by-state information to how every state handles an already-licensed producer who must report new felony costs, convictions, navy convictions, or adminstrative actions. For a bit extra background on the legal guidelines surrounding sure varieties of felonies, and the way the Producer Licensing Mannequin Act (PLMA) tries to standardize procedures throughout states, see Half Considered one of this five-part sequence, which additionally covers the primary 10 states (in alphabetical order).

Bounce to a state

With 50 states plus the District of Columbia to cowl, we’ve divided this matter right into a sequence. This text covers Hawaii via Maryland, and you may click on the state beneath to leap on to it – together with states not coated on this specific article.

Alabama | Alaska | Arkansas | Arizona | California | Colorado | | Connecticut | Delaware | Florida | Georgia | Hawaii | Idaho | Illinois | Indiana | Iowa | Kansas | Kentucky | Louisiana | Maine | Maryland

Find out how to renew my Hawaii insurance coverage license after a felony conviction

Hawaii Revised Statute §431:9-234.5 states {that a} licensed producer has 30 days to report:

• Any civil or administrative motion taken towards them in any jurisdiction or by any governmental company in america (from the date of “closing disposition of the matter.”)
• Any felony prosecution of the licensee being taken in any jurisdiction (from the “date of arraignment.”)

To do that, the legislation specifies the licensee should submit “a duplicate of the preliminary grievance or indictment and any and all different related authorized paperwork.” Hawaii asks producers to make these written submissions by way of the NIPR Attachments Warehouse – Reporting of Actions.

As soon as the producer has reported as required, Hawaii Revised Statute § 431:9A-112, states “the [insurance] commissioner could deny, place on probation, droop, revoke, or refuse to situation or renew an insurance coverage producer’s license and will levy a civil penalty…” for anyone (or a number of) of a protracted listing of circumstances. Most relevant to the subject of felony background info are:

(2) Violating any legislation, or violating any rule, subpoena, or order of the commissioner or of one other state’s commissioner;

(6) Having been convicted of a felony;

(9) Having an insurance coverage producer license or its equal denied, positioned on probation, suspended, or revoked in every other state, province, district, or territory;

Supply: HI Revised Statute § 431:9A-112 (2022)

To simplify, Hawaii says you may lose your insurance coverage license if you happen to violate any legislation, are convicted of a felony, or have your license denied, revoked, and so on. by one other jurisdiction.

This final half may have a big impression on a producer who – for instance – holds a resident license in Hawaii and a nonresident license in Georgia. If this producer’s convicted of one thing that’s a felony in Georgia however not Hawaii, and thus loses their Georgia license based mostly on Georgia’s legislation, that truth alone may trigger Hawaii to comply with go well with. Nevertheless, it’s essential to notice that none of those penalties are automated or occur with out the flexibility for a producer to struggle them.

What about misdemeanors in Hawaii?

[Pending answer from the state] Hawaii’s particular person insurance coverage producer utility states that an applicant could exclude from their self-reported felony historical past:

• Misdemeanor convictions or pending misdemeanor costs
• Site visitors citations
• Driving beneath the affect (DUI) or driving whereas intoxicated (DWI) citations
• Driving and not using a license
• Reckless driving, or driving with a suspended or revoked license.
• Offenses the place you had been adjudicated as a delinquent in juvenile courtroom

Since these don’t must be reported upon the preliminary utility, it’s logical {that a} present licenseholder in Hawaii would additionally not must report these specific misdemeanors to the insurance coverage commissioner. Nevertheless, we’re nonetheless awaiting affirmation from the Hawaii insurance coverage commissioner’s workplace.

What about nonresident producers looking for to resume their Hawaii license after a conviction?

Hawaii’s legislation states “a licensee” with no distinction between resident and nonresident licensees. Producers with nonresident Hawaii insurance coverage licenses ought to comply with the identical procedures as outlined above.

One closing be aware on insurance coverage licensing and felony convictions in Hawaii

Hawaii specifies that it’s not simply the person producer who may be in hassle for his or her felony exercise. Enterprise entities can even have their insurance coverage licenses revoked, suspended, and so on. (identical to people) if somebody in cost knew or ought to have identified {that a} licensed producer engaged in one of many (beforehand talked about) lengthy listing of misconducts.

(c) The license of a enterprise entity could also be sanctioned pursuant to subsection (a) if the commissioner finds, after listening to, that every other licensee of the enterprise entity has engaged in misconduct beneath subsection (a) that was identified or ought to have been identified by a number of of the entity’s companions, officers, or managers appearing on behalf of the entity and the violation was neither reported to the commissioner by the entity nor corrective motion taken by the entity.

https://legislation.justia.com/codes/hawaii/2022/title-24/chapter-431/section-431-9a-112/

Find out how to renew my Idaho insurance coverage license after a felony conviction

In accordance with Idaho Statute §41-1021, a producer should report both (or each): administrative motion taken towards the producer by one other jurisdiction; and any felony prosecution introduced towards the producer by every other jurisdiction. Like all different states, Idaho requires producers with an lively license to report these new “actions” inside 30 days, both from the ultimate disposition (for administrative actions) or from the preliminary pretrial listening to date (felony prosecutions). The report might want to embrace “a duplicate of the preliminary grievance filed, the order ensuing from the listening to and every other related authorized paperwork” and be uploaded to the NIPR Attachments Warehouse – Reporting of Actions.

Should you’ve obtained extra questions on getting or holding an insurance coverage license with a felony file, the Idaho Division of Insurance coverage web site has lots of house devoted to complete protection of reporting of actions.

What about misdemeanors in Idaho?

Idaho is without doubt one of the handful of states that particularly lists a couple of misdemeanors that licensed insurance coverage producers don’t have to report back to the insurance coverage commissioner. These embrace:

• Misdemeanor visitors citations
• Misdemeanor convictions involving driving beneath the affect (DUI) or driving whereas intoxicated (DWI)
• Driving and not using a license
• Reckless driving
• Driving with a suspended or revoked license

Whereas this listing is said to first-time candidates, we interpret the exclusions to additionally apply to present licensed producers who discover themselves cited with one of many above.

Outdoors of this listing, Idaho does require a producer (or applicant) to reveal misdemeanors the identical as felonies, inside 30 days, and with the documentation famous.

What about nonresident producers looking for to resume their Idaho license after a conviction?

Idaho legislation doesn’t specify a distinction between resident and nonresident producers. Nonresident producers with an Idaho license ought to comply with the identical reporting necessities as residents.

Particularly referring to granting a 1033 consent waiver, Idaho writes: “A 1033 consent and even licensure in a house state doesn’t assure license issuance in different, non-resident states. All states reserve the best to make their very own willpower in evaluate of the background info.” Idaho seems to take the identical stance to convictions that don’t require a 1033 consent. Principally, undergo the method even if you happen to’re a nonresident, and Idaho will decide the result.

Find out how to renew my Illinois insurance coverage license after a felony conviction

The Illinois insurance coverage code states in Part 500-95 that any licensed producer convicted of a felony should report the conviction to the director of insurance coverage inside 30 days from the entry date of the judgment. The report ought to embrace a “copy of the judgment, the probation or dedication order, and every other related paperwork.”

These paperwork needs to be uploaded to the state utilizing the NIPR Attachments Warehouse – Reporting of Actions. In accordance with the Illinois insurance coverage code, this text is scheduled to be repealed on Jan. 1, 2027. We haven’t been in a position to get a response from Illinois about what this implies but..

What about misdemeanors in Illinois?

We are able to’t discover any reference to misdemeanors within the Illinois insurance coverage code. We advocate checking with an Illinois legal professional or contacting the division of insurance coverage for clarification if you happen to’re within the place of being convicted of a misdemeanor and questioning whether or not it is advisable report it.

What about nonresident producers looking for to resume their Illinois license after a conviction?

Illinois legislation makes no distinction between resident and nonresident producers. Nonresident licenseholders in Illinois ought to comply with the identical pointers as resident producers.

Find out how to renew my Indiana insurance coverage license after a felony conviction

Indiana’s insurance coverage code states in IC 27-1-15.6-17 {that a} licensed producer has 30 days to report:

• Any administrative motion taken towards the producer in one other jurisdiction or by one other governmental company in Indiana (from the date of “closing disposition of the matter.”)
• Any felony prosecution of the producer initiated in any jurisdiction (from the “preliminary pretrial listening to date”).

To do that, the legislation specifies the licensee should submit “a duplicate of the order, consent to order, or different related authorized paperwork” (for administrative actions) or “a duplicate of the preliminary grievance filed, the order ensuing from the listening to, and every other related authorized paperwork” (for felony prosecutions). Indiana makes use of the NIPR Attachments Warehouse – Reporting of Actions to gather these paperwork.

In accordance with IC 27-1-27-7.1, the Indiana insurance coverage commissioner could droop, revoke, or refuse to situation or renew a producer’s license if the producer has been convicted of a felony. In actual fact, Indiana legislation refers to a felony conviction as a “disqualifying offense,” giving us the impression that any felony conviction is grounds for license revocation.

Moreover, Indiana imposes a 10-year disqualification interval on licensed insurance coverage producers who’ve obtained a felony conviction. Solely after 10 years have handed “because the date of the applicant’s conviction or launch from imprisonment, parole, or probation, whichever is later” can the producer apply for his or her license to be reinstated.

What about misdemeanors in Indiana?

Indiana legislation doesn’t seem to specify easy methods to report a misdemeanor conviction, nevertheless, it clearly states that some misdemeanors are grounds for license revocation. In accordance with IC 27-10-1-6, a misdemeanor is a disqualifying act “if a component of the offense includes dishonesty, violence, or a lethal weapon.” Except for that, looks as if a misdemeanor doesn’t disqualify somebody from holding their insurance coverage license.

Identical to felonies, Indiana legislation requires license revocation for somebody convicted of a disqualifying misdemeanor. Such an individual can apply for license reinstatement as soon as 5 years have handed since “the date of the applicant’s conviction or launch from imprisonment, parole, or probation, whichever is later.”

What about nonresident producers looking for to resume their Indiana license after a conviction?

Indiana legislation doesn’t point out resident or nonresident producers on this capability. Nonresident producers ought to comply with the identical procedures as described.

Find out how to renew my Iowa insurance coverage license after a felony conviction

Iowa’s insurance coverage code states in Part 522B.16 {that a} licensed producer has 30 days to report:

• Any administrative motion taken towards the producer in one other jurisdiction or by one other governmental company in Iowa (from the date of “closing disposition of the matter”).
• Any felony prosecution of the producer taken in any jurisdiction (from the “preliminary pretrial listening to date”).

To do that, the legislation specifies:

• For administrative actions: The report “shall embrace a duplicate of the order, consent to the order, and different related authorized paperwork.”
• For felony prosecution: The report “shall embrace a duplicate of the preliminary complain filed, the order ensuing from the listening to, and every other related authorized paperwork.”

Iowa makes use of the NIPR Attachments Warehouse – Reporting of Actions to gather these paperwork.

What about misdemeanors in Iowa?

Iowa legislation doesn’t specify completely different reporting necessities for felonies versus misdemeanors. It merely states that licensed producers should report new felony prosecutions to the division of insurance coverage inside 30 days. Iowa legislation additionally doesn’t point out any misdemeanors that will be exempt from its normal reporting necessities.

What about nonresident producers looking for to resume their Iowa license after a conviction?

Iowa legislation doesn’t point out resident or nonresident producers on this capability. Nonresident producers ought to comply with the identical procedures as described.

Find out how to renew my Kansas insurance coverage license after a felony conviction

In accordance the Kansas Insurance coverage Division’s web site, licensed producers (each resident and nonresident) are “required to inform the Division of, inside 30 days of incidence, any regulatory actions, terminations for trigger, actions taken towards a license in one other state, and new convictions.”

To do that, the state says to electronic mail the Division at KID.licensing@ks.gov with the topic line “Report of Motion.”

What about misdemeanors in Kansas?

Kansas doesn’t distinguish between misdemeanors and different varieties of crimes, so any licensed producer with a “new conviction” ought to comply with the identical procedures for Kansas described above.

What about nonresident producers looking for to resume their Kansas license after a conviction?

The Kansas Insurance coverage Division has an online web page devoted to nonresident producers and lists the identical procedures no matter an agent’s resident state.

Find out how to renew my Kentucky insurance coverage license after a felony conviction

Kentucky’s revised statutes, Part 304.9-467 states {that a} licensed producer has 30 days to report:

• Any administrative motion taken towards the licensee in one other jurisdiction or by one other governmental company in Kentucky (from the date of “closing disposition of the matter.”)

This report should embrace:

• A written assertion figuring out the kind of license and explaining the circumstances of every incident;
• A replica of the discover of listening to or different doc that states the costs and allegations; and
• A replica of the official doc which demonstrates the decision of the costs or any closing judgment.

Kentucky legislation additionally says {that a} producer has 30 days (from the date of service) to report:

• Any felony grievance, info, or indictment in any jurisdiction.

This report should embrace:

• A written assertion explaining the circumstances of every incident;
• A replica of the charging doc;
• A replica of the official doc which demonstrates the decision of the costs or any closing judgment.

Particularly, with regards to reporting felony complaints, info, or indictments, if the state of affairs hasn’t been resolved inside 30 days of a licensed producer receiving discover of these things, the licensee has 30 days “following the decision of the costs” to submit a duplicate of the decision and/or closing judgment to the Kentucky insurance coverage commissioner.

To satisfy these necessities, Kentucky says licensees should submit the required info to:

ATTN: Civil/Legal Violation Reviews

Agent Licensing Division

909 Leawood Drive

Frankfort, Kentucky 40601

What about misdemeanors in Kentucky?

We advocate doing all of your due diligence, nevertheless, Kentucky’s legislation is obvious that with regards to new insurance coverage license candidates, candidates can omit disclosing “misdemeanor visitors offenses and juvenile offenses.” One could infer {that a} present licensee needn’t report newly occurring misdemeanor visitors offenses. Except for this one very particular kind of crime, Kentucky requires license candidates and present licensees to report “any felony grievance, info, or indictment in any jurisdiction.”

What about nonresident producers looking for to resume their Kentucky license after a conviction?

Kentucky legislation makes no distinction between resident and nonresident producers. Nonresident licenseholders in Kentucky ought to comply with the identical pointers as resident producers.

Find out how to renew my Louisiana insurance coverage license after a felony conviction

In accordance with Louisiana Revised Statutes Part 22:1563, a licensed insurance coverage producer has 30 days to report (to the commissioner of insurance coverage):

• Any administrative motion taken towards the producer in one other jurisdiction or by one other governmental company on this state (from the date of the “closing disposition of the matter”).
  • This report shall embrace a duplicate of the order, consent to order, or different related authorized paperwork.
• A conviction in district courtroom of an offense beneath Revised Statute 22:1554(A)(7) (from the date of a conviction).

Louisiana legislation additionally states that the insurance coverage commissioner has the flexibility to “place on probation, droop, revoke, or refuse to situation, renew, or reinstate an insurance coverage producer license” (or situation a positive) to a licensed insurance coverage producer who’s convicted of – or pleads nolo contendere to – “any felony…or conviction of any misdemeanor involving ethical turpitude or public corruption.”

Moreover, the legislation states, not reporting these as required, throughout the 30-day time-frame, makes a producer responsible of violating Louisiana Revised Statute 22:1554(A)(14).

To do that, the legislation specifies the licensee should submit the required paperwork to the NIPR Attachments Warehouse – Reporting of Actions.

What about misdemeanors in Louisiana?

Whereas misdemeanors that don’t contain ethical turpitude or public corruption could not disqualify a producer from sustaining their license, Louisiana seems to require them to be reported nonetheless.

What about nonresident producers looking for to resume their Louisiana license after a conviction?

Louisiana legislation doesn’t distinguish between resident and nonresident licensees by way of reporting necessities. Producers with nonresident Louisiana insurance coverage licenses ought to comply with the procedures outlined above.

One closing be aware on insurance coverage licensing and felony convictions in Louisiana

Louisiana specifies that it’s not simply the person producer who may be in hassle for his or her felony exercise. Different people and enterprise entities can even have their insurance coverage licenses revoked, suspended, and so on. if somebody in cost knew or ought to have identified {that a} licensed producer engaged in misconduct that required them to acquire a consent waiver (however didn’t get one). This seems to incorporate a conviction of a felony, though it’s not clear whether or not the reference is to any felony or simply these associated to ethical turpitude (requiring a 1033 consent waiver). Please seek the advice of the division of insurance coverage if you end up needing agency solutions.

1. The commissioner could place on probation, droop, revoke, or refuse to situation, renew, or reinstate an insurance coverage producer license, or could levy a positive to not exceed 5 hundred {dollars} for every violation occurring, as much as ten thousand {dollars} combination for all violations in a calendar yr per applicant or licensee, or any mixture of actions, for any a number of of the next causes:

…(18)(a)

“A producer, with out the consent of or a waiver from the commissioner, has employed or has allowed to affiliate together with his enterprise, in any method, any particular person engaged within the enterprise of insurance coverage who has been convicted of a felony beneath the legal guidelines of this state or every other state or territory, the District of Columbia, america, or any overseas nation.”

Louisiana Revised Statute Part 22:1554. License denial, nonrenewal, or revocation

Find out how to renew my Maine insurance coverage license after a felony conviction

The Maine insurance coverage code states in Part 1420-P that “a producer shall report back to the superintendent any administrative motion taken towards the producer in one other jurisdiction” or by one other Maine governmental company “inside 30 days of the ultimate disposition of the matter.” The report is required to incorporate “a duplicate of the order, consent to order, or different related authorized paperwork.”

Maine legislation additionally states that, for felony actions, a producer has 30 days from the preliminary pretrial listening to date to “report back to the superintendent any felony prosecution of the producer taken in any jurisdiction.” This report should include “a duplicate of the preliminary grievance filed, the order ensuing from the listening to, and every other related authorized paperwork.”

The Maine Bureau of Insurance coverage desires producers to submit these paperwork both by importing them to the NIPR Attachments Warehouse – Reporting of Actions, or by emailing the Bureau of Insurance coverage immediately at inisurance.pfr@maine.gov.

The state of Maine doesn’t say that reporting new administrative actions or felony actions will essentially end in shedding an insurance coverage license. Nevertheless, the legislation says the superintendent “could place on probation, droop, revoke or refuse to situation or renew an insurance coverage producer’s license or could levy a civil penalty…” on a licensed producer who’s been convicted of crimes outlined in Maine’s legislation, Title 5, part 5301.

What about misdemeanors in Maine?

In accordance with electronic mail correspondence with the Maine Bureau of Insurance coverage, all felony historical past and new felony convictions and pending costs (together with misdemeanors) have to be reported, apart from the next:

• Site visitors citations
• Driving beneath the affect (DUI)
• Driving whereas intoxicated (DWI)
• Driving and not using a license
• Driving with a suspended or revoked license
• Juvenile adjudication

What about nonresident producers looking for to resume their Maine license after a conviction?

Maine legislation makes no particular distinction between resident and nonresident producers. Nonresident licenseholders in Maine ought to comply with the identical pointers as resident producers.

One closing be aware on insurance coverage licensing and felony convictions in Maine

Like different states, Maine doesn’t ignore an insurance coverage enterprise that permits a producer to proceed working with a felony previous with out following the correct procedures to make sure the producer’s nonetheless in good standing.

“Impact on enterprise entity. The license of a enterprise entity could also be suspended, revoked or refused if the superintendent finds, after listening to, that a person licensee’s violation was identified or ought to have been identified by a number of of the companions, officers or managers appearing on behalf of the partnership or company and the violation was neither reported to the superintendent nor corrected.”

MAINE INSURANCE CODE Chapter 16: PRODUCERS, ADJUSTERS AND CONSULTANTS

Subchapter 2-A: MAINE PRODUCER LICENSING ACT

Find out how to renew my Maryland insurance coverage license after a felony conviction

Maryland insurance coverage code part 10-126 states that “The Commissioner could deny a license…or droop, revoke, or refuse to resume or reinstate a license” if the licenseholder has (amongst a protracted listing of different situations):

• Been convicted by closing judgment in any state or federal courtroom of a felony or crime involving ethical turpitude;
• Been denied a license or certificates in one other state or has had a license or certificates suspended or revoked in one other state;
• Knowingly employed or knowingly continued to make use of a person appearing in a fiduciary capability who’s been convicted of a felony or crime of ethical turpitude throughout the previous 10 years

Moreover, the suspension, revocation, nonrenewal, and so on. can apply to a licensed enterprise entity and never simply a person producer.

Like most states, Maryland legislation permits the state to comply with go well with if a producer loses their license in a distinct state, which is essential for producers holding nonresident licenses in states with completely different standards for revocation than Maryland.

Whereas crimes outdoors of these involving dishonesty and breach of belief (i.e. ethical turpitude) aren’t essentially disqualifying for an insurance coverage producer license, Maryland requires licenseholders to report any new felony file to the state inside 30 days.

For administrative actions: licenseholders should make a report back to the insurance coverage commissioner inside 30 days after the ultimate disposition of the matter. The report ought to embrace a duplicate of the order, consent order, and every other related authorized paperwork.

For felony prosecutions: the insurance coverage producer should report the prosecution to the commissioner inside 30 days after the producer’s preliminary look earlier than a courtroom, together with appearances earlier than the next:

• A judicial officer of the district courtroom attributable to an arrest;
• The district courtroom in response to a summons;
• The circuit courtroom attributable to execution of a warrant; or
• The circuit courtroom in particular person or by written discover of counsel in response to a summons.

In any case, the producer should embrace a duplicate of the charging doc, any order issued by a courtroom, and every other related authorized paperwork.

To report both an administrative motion or felony prosecution, Maryland insurance coverage producers ought to submit the paperwork both by utilizing the NIPR Attachments Warehouse – Reporting of Actions, or by emailing licensingenforcement.mia@maryland.gov.

What about misdemeanors in Maryland?

Maryland doesn’t require producers to report “misdemeanor violations of the Maryland Car Regulation or the automobile legal guidelines of different states.” Except for these particular automobile violations, Maryland requires producers to report in the event that they’re being prosecuted for a misdemeanor the identical as a felony.

What about nonresident producers looking for to resume their Maryland license after a conviction?

Maryland treats nonresident producers the identical as resident producers. Insurance coverage producers holding a nonresident Maryland license ought to comply with the identical directions.

What to do if in case you have new felony costs or convictions

As we’ve made our manner via the subsequent 10 states on our listing, one factor’s turn into clear. Each state requires insurance coverage producers to report new felony exercise to the insurance coverage commissioner or division of insurance coverage, and to take action inside 30 days. Past that, the specifics fluctuate.

Whether or not there’re exceptions to the varieties of crimes that must be reported, whether or not a producer must report costs or solely convictions, and what the possibilities are you could hold an lively license after reporting any kind of felony conviction are among the many variables that every state determines for itself.

We hope this information has been useful, however the backside line is that if you happen to’re an insurance coverage producer dealing with felony costs or convictions, your finest guess can be to seek the advice of along with your legal professional and your state’s DOI on to be sure to fulfill any necessities. Doing nothing is assured to land you in additional hassle than following the state’s reporting necessities.

To be taught extra concerning the nuances of state-by-state insurance coverage compliance, take a look at our free Compliance Library the place we’ve performed the analysis for you. Should you’re able to make compliance streamlined and automated at your insurance coverage company, service, MGA, or MGU, see how AgentSync may help.

Subjects
Fraud
Louisiana
Georgia
Illinois
Kansas
Maryland
Iowa
Hawaii
Kentucky
Maine