Half 2 – Hawaii by Maryland

This submit is a part of a collection sponsored by AgentSync.

Having a legal cost or conviction in a single’s background could make issues harder for a licensed insurance coverage producer. Nonetheless, it doesn’t all the time need to imply the tip of a profession, so long as you observe your state’s procedures for reporting the brand new historical past. It’s greatest to start out along with your resident state, however don’t overlook to inform all states the place you maintain a nonresident license as effectively.

That can assist 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 legal costs, convictions, army convictions, or adminstrative actions. For a bit extra background on the legal guidelines surrounding sure forms of felonies, and the way the Producer Licensing Mannequin Act (PLMA) tries to standardize procedures throughout states, see Half Certainly one of this five-part collection, which additionally covers the primary 10 states (in alphabetical order).

Soar to a state

With 50 states plus the District of Columbia to cowl, we’ve divided this matter right into a collection. This text covers Hawaii by Maryland, and you’ll 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

Tips on how to renew my Hawaii insurance coverage license after a legal conviction

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

• Any civil or administrative motion taken in opposition to them in any jurisdiction or by any governmental company in the US (from the date of “remaining disposition of the matter.”)
• Any legal prosecution of the licensee being taken in any jurisdiction (from the “date of arraignment.”)

To do that, the regulation specifies the licensee should submit “a replica of the preliminary criticism or indictment and any and all different related authorized paperwork.” Hawaii asks producers to make these written submissions through 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 challenge or renew an insurance coverage producer’s license and will levy a civil penalty…” for anyone (or a number of) of a protracted record of circumstances. Most relevant to the subject of legal background data are:

(2) Violating any regulation, 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 another state, province, district, or territory;

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

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

This final half might 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 primarily based on Georgia’s regulation, that truth alone might trigger Hawaii to observe go well with. Nonetheless, it’s vital to notice that none of those penalties are automated or occur with out the flexibility for a producer to battle 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 legal historical past:

• Misdemeanor convictions or pending misdemeanor costs
• Visitors citations
• Driving beneath the affect (DUI) or driving whereas intoxicated (DWI) citations
• Driving with out 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 should be reported upon the preliminary utility, it’s logical {that a} present licenseholder in Hawaii would additionally not need to report these specific misdemeanors to the insurance coverage commissioner. Nonetheless, we’re nonetheless awaiting affirmation from the Hawaii insurance coverage commissioner’s workplace.

What about nonresident producers in search of to resume their Hawaii license after a conviction?

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

One remaining be aware on insurance coverage licensing and legal convictions in Hawaii

Hawaii specifies that it’s not simply the person producer who might be in hassle for his or her legal exercise. Enterprise entities may have their insurance coverage licenses revoked, suspended, and so on. (identical to people) if somebody in cost knew or ought to have recognized {that a} licensed producer engaged in one of many (beforehand talked about) lengthy record 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 another licensee of the enterprise entity has engaged in misconduct beneath subsection (a) that was recognized or ought to have been recognized 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://regulation.justia.com/codes/hawaii/2022/title-24/chapter-431/section-431-9a-112/

Tips on how to renew my Idaho insurance coverage license after a legal conviction

In accordance with Idaho Statute §41-1021, a producer should report both (or each): administrative motion taken in opposition to the producer by one other jurisdiction; and any legal prosecution introduced in opposition to the producer by another jurisdiction. Like all different states, Idaho requires producers with an energetic 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 (legal prosecutions). The report might want to embrace “a replica of the preliminary criticism filed, the order ensuing from the listening to and another related authorized paperwork” and be uploaded to the NIPR Attachments Warehouse – Reporting of Actions.

In case you’ve bought extra questions on getting or retaining an insurance coverage license with a legal document, the Idaho Division of Insurance coverage web site has a variety of area devoted to complete protection of reporting of actions.

What about misdemeanors in Idaho?

Idaho is likely one of the handful of states that particularly lists a number 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 with out a license
• Reckless driving
• Driving with a suspended or revoked license

Whereas this record 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 record, 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 in search of to resume their Idaho license after a conviction?

Idaho regulation doesn’t specify a distinction between resident and nonresident producers. Nonresident producers with an Idaho license ought to observe 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 appropriate to make their very own dedication in overview of the background data.” Idaho seems to take the identical stance to convictions that don’t require a 1033 consent. Mainly, undergo the method even when you’re a nonresident, and Idaho will decide the end result.

Tips on how to renew my Illinois insurance coverage license after a legal 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 another related paperwork.”

These paperwork ought 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 capable of 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 suggest checking with an Illinois lawyer or contacting the division of insurance coverage for clarification when you’re within the place of being convicted of a misdemeanor and questioning whether or not you might want to report it.

What about nonresident producers in search of to resume their Illinois license after a conviction?

Illinois regulation makes no distinction between resident and nonresident producers. Nonresident licenseholders in Illinois ought to observe the identical pointers as resident producers.

Tips on how to renew my Indiana insurance coverage license after a legal 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 in opposition to the producer in one other jurisdiction or by one other governmental company in Indiana (from the date of “remaining disposition of the matter.”)
• Any legal prosecution of the producer initiated in any jurisdiction (from the “preliminary pretrial listening to date”).

To do that, the regulation specifies the licensee should submit “a replica of the order, consent to order, or different related authorized paperwork” (for administrative actions) or “a replica of the preliminary criticism filed, the order ensuing from the listening to, and another related authorized paperwork” (for legal 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 challenge or renew a producer’s license if the producer has been convicted of a felony. In actual fact, Indiana regulation 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 acquired a felony conviction. Solely after 10 years have handed “for the reason that 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 regulation doesn’t seem to specify learn how 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 entails dishonesty, violence, or a lethal weapon.” Except for that, looks as if a misdemeanor doesn’t disqualify somebody from retaining their insurance coverage license.

Similar to felonies, Indiana regulation 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 in search of to resume their Indiana license after a conviction?

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

Tips on how to renew my Iowa insurance coverage license after a legal conviction

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

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

To do that, the regulation specifies:

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

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

What about misdemeanors in Iowa?

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

What about nonresident producers in search of to resume their Iowa license after a conviction?

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

Tips on how to renew my Kansas insurance coverage license after a legal 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 prevalence, any regulatory actions, terminations for trigger, actions taken in opposition to a license in one other state, and new convictions.”

To do that, the state says to e 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 forms of crimes, so any licensed producer with a “new conviction” ought to observe the identical procedures for Kansas described above.

What about nonresident producers in search of to resume their Kansas license after a conviction?

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

Tips on how to renew my Kentucky insurance coverage license after a legal conviction

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

• Any administrative motion taken in opposition to the licensee in one other jurisdiction or by one other governmental company in Kentucky (from the date of “remaining 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 duplicate of the discover of listening to or different doc that states the fees and allegations; and
• A duplicate of the official doc which demonstrates the decision of the fees or any remaining judgment.

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

• Any legal criticism, data, or indictment in any jurisdiction.

This report should embrace:

• A written assertion explaining the circumstances of every incident;
• A duplicate of the charging doc;
• A duplicate of the official doc which demonstrates the decision of the fees or any remaining judgment.

Particularly, relating to reporting legal complaints, data, or indictments, if the state of affairs hasn’t been resolved inside 30 days of a licensed producer receiving discover of this stuff, the licensee has 30 days “following the decision of the fees” to submit a replica of the decision and/or remaining judgment to the Kentucky insurance coverage commissioner.

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

ATTN: Civil/Felony Violation Reviews

Agent Licensing Division

909 Leawood Drive

Frankfort, Kentucky 40601

What about misdemeanors in Kentucky?

We suggest doing all your due diligence, nevertheless, Kentucky’s regulation is obvious that relating 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 sort of crime, Kentucky requires license candidates and present licensees to report “any legal criticism, data, or indictment in any jurisdiction.”

What about nonresident producers in search of to resume their Kentucky license after a conviction?

Kentucky regulation makes no distinction between resident and nonresident producers. Nonresident licenseholders in Kentucky ought to observe the identical pointers as resident producers.

Tips on how to renew my Louisiana insurance coverage license after a legal 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 in opposition to the producer in one other jurisdiction or by one other governmental company on this state (from the date of the “remaining disposition of the matter”).
  • This report shall embrace a replica 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 regulation additionally states that the insurance coverage commissioner has the flexibility to “place on probation, droop, revoke, or refuse to challenge, renew, or reinstate an insurance coverage producer license” (or challenge a wonderful) 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 regulation states, not reporting these as required, inside the 30-day time-frame, makes a producer responsible of violating Louisiana Revised Statute 22:1554(A)(14).

To do that, the regulation 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 in search of to resume their Louisiana license after a conviction?

Louisiana regulation doesn’t distinguish between resident and nonresident licensees when it comes to reporting necessities. Producers with nonresident Louisiana insurance coverage licenses ought to observe the procedures outlined above.

One remaining be aware on insurance coverage licensing and legal convictions in Louisiana

Louisiana specifies that it’s not simply the person producer who might be in hassle for his or her legal exercise. Different people and enterprise entities may have their insurance coverage licenses revoked, suspended, and so on. if somebody in cost knew or ought to have recognized {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 challenge, renew, or reinstate an insurance coverage producer license, or could levy a wonderful to not exceed 5 hundred {dollars} for every violation occurring, as much as ten thousand {dollars} combination for all violations in a calendar 12 months 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 individual engaged within the enterprise of insurance coverage who has been convicted of a felony beneath the legal guidelines of this state or another state or territory, the District of Columbia, the US, or any overseas nation.”

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

Tips on how to renew my Maine insurance coverage license after a legal conviction

The Maine insurance coverage code states in Part 1420-P that “a producer shall report back to the superintendent any administrative motion taken in opposition to 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 replica of the order, consent to order, or different related authorized paperwork.”

Maine regulation additionally states that, for legal actions, a producer has 30 days from the preliminary pretrial listening to date to “report back to the superintendent any legal prosecution of the producer taken in any jurisdiction.” This report should include “a replica of the preliminary criticism filed, the order ensuing from the listening to, and another related authorized paperwork.”

The Maine Bureau of Insurance coverage needs 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 legal actions will essentially lead to shedding an insurance coverage license. Nonetheless, the regulation says the superintendent “could place on probation, droop, revoke or refuse to challenge 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 regulation, Title 5, part 5301.

What about misdemeanors in Maine?

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

• Visitors citations
• Driving beneath the affect (DUI)
• Driving whereas intoxicated (DWI)
• Driving with out a license
• Driving with a suspended or revoked license
• Juvenile adjudication

What about nonresident producers in search of to resume their Maine license after a conviction?

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

One remaining be aware on insurance coverage licensing and legal convictions in Maine

Like different states, Maine doesn’t ignore an insurance coverage enterprise that enables a producer to proceed working with a legal 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 recognized or ought to have been recognized 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

Tips on how to renew my Maryland insurance coverage license after a legal 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 record of different situations):

• Been convicted by remaining 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 inside 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 regulation permits the state to observe go well with if a producer loses their license in a special state, which is vital for producers holding nonresident licenses in states with totally different standards for revocation than Maryland.

Whereas crimes exterior 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 legal document 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 replica of the order, consent order, and another related authorized paperwork.

For legal 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 as a consequence of an arrest;
• The district courtroom in response to a summons;
• The circuit courtroom as a consequence of execution of a warrant; or
• The circuit courtroom in individual or by written discover of counsel in response to a summons.

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

To report both an administrative motion or legal prosecution, Maryland insurance coverage producers ought to submit the paperwork both through the use of 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 Legislation or the car legal guidelines of different states.” Except for these particular car 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 in search of 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 observe the identical directions.

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

As we’ve made our method by the subsequent 10 states on our record, one factor’s develop into clear. Each state requires insurance coverage producers to report new legal exercise to the insurance coverage commissioner or division of insurance coverage, and to take action inside 30 days. Past that, the specifics range.

Whether or not there’re exceptions to the forms of crimes that should be reported, whether or not a producer must report costs or solely convictions, and what the probabilities are that you may maintain an energetic license after reporting any sort of legal 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 when you’re an insurance coverage producer going through legal costs or convictions, your greatest wager might be to seek the advice of along with your lawyer 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 in regards to the nuances of state-by-state insurance coverage compliance, try our free Compliance Library the place we’ve accomplished the analysis for you. In case you’re able to make compliance streamlined and automated at your insurance coverage company, service, MGA, or MGU, see how AgentSync may also help.

Subjects
Fraud
Louisiana
Georgia
Illinois
Kansas
Maryland
Iowa
Hawaii
Kentucky
Maine