Part 2 – Hawaii by Maryland

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

Having a prison cost or conviction in a single’s background could make issues tougher for a licensed insurance coverage producer. However, it doesn’t at all times need to imply the top of a profession, so long as you comply with your state’s procedures for reporting the brand new historical past. It’s finest 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.

To assist you to 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 prison fees, convictions, navy convictions, or adminstrative actions. For a bit extra background on the legal guidelines surrounding sure sorts of felonies, and the way the Producer Licensing Model Act (PLMA) tries to standardize procedures throughout states, see Part One of this five-part collection, which additionally covers the primary 10 states (in alphabetical order).

Jump to a state

With 50 states plus the District of Columbia to cowl, we’ve divided this subject right into a collection. This article covers Hawaii by Maryland, and you’ll click on the state under to leap on to it – together with states not lined on this explicit article.

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

How to resume my Hawaii insurance coverage license after a prison 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 within the United States (from the date of “final disposition of the matter.”)
• Any prison 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 copy of the initial complaint or indictment and any and all other relevant legal documents.” Hawaii asks producers to make these written submissions by way of the NIPR Attachments Warehouse – Reporting of Actions.

Once the producer has reported as required, Hawaii Revised Statute § 431:9A-112, states “the [insurance] commissioner may deny, place on probation, suspend, revoke, or refuse to issue or renew an insurance producer’s license and may levy a civil penalty…” for anybody (or a number of) of an extended listing of circumstances. Most relevant to the subject of prison background info 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;

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

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

This final half may have a big influence 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 regulation, that reality alone may trigger Hawaii to comply with swimsuit. However, it’s essential to notice that none of those penalties are automated or occur with out the flexibility for a producer to combat 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 prison historical past:

• Misdemeanor convictions or pending misdemeanor fees
• Traffic 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 court docket

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 explicit misdemeanors to the insurance coverage commissioner. However, 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 comply with the identical procedures as outlined above.

One remaining observe on insurance coverage licensing and prison convictions in Hawaii

Hawaii specifies that it’s not simply the person producer who will be in bother for his or her prison exercise. Business entities can even have their insurance coverage licenses revoked, suspended, and so forth. (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 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 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://law.justia.com/codes/hawaii/2022/title-24/chapter-431/section-431-9a-112/

How to resume my Idaho insurance coverage license after a prison conviction

According to Idaho Statute §41-1021, a producer should report both (or each): administrative motion taken towards the producer by one other jurisdiction; and any prison prosecution introduced towards 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 (prison prosecutions). The report might want to embody “a copy of the initial complaint filed, the order resulting from the hearing and any other relevant legal documents” and be uploaded to the NIPR Attachments Warehouse – Reporting of Actions.

If you’ve bought extra questions on getting or preserving an insurance coverage license with a prison file, the Idaho Department of Insurance web site has loads of house devoted to complete protection of reporting of actions.

What about misdemeanors in Idaho?

Idaho is among the handful of states that particularly lists a couple of misdemeanors that licensed insurance coverage producers don’t must report back to the insurance coverage commissioner. These embody:

• 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

While 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.

Outside 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 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 comply with the identical reporting necessities as residents.

Specifically referring to granting a 1033 consent waiver, Idaho writes: “A 1033 consent and even licensure in a home state does not guarantee license issuance in other, non-resident states. All states reserve the right to make their own determination in review of the background information.” Idaho seems to take the identical stance to convictions that don’t require a 1033 consent. Basically, undergo the method even if you happen to’re a nonresident, and Idaho will decide the result.

How to resume my Illinois insurance coverage license after a prison conviction

The Illinois insurance coverage code states in Section 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 embody a “copy of the judgment, the probation or commitment order, and any other relevant documents.”

These paperwork ought to be uploaded to the state utilizing the NIPR Attachments Warehouse – Reporting of Actions. According to 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 can’t discover any reference to misdemeanors within the Illinois insurance coverage code. We advocate checking with an Illinois lawyer 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 you must 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 comply with the identical tips as resident producers.

How to resume my Indiana insurance coverage license after a prison 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 “final disposition of the matter.”)
• Any prison prosecution of the producer initiated in any jurisdiction (from the “initial pretrial hearing date”).

To do that, the regulation specifies the licensee should submit “a copy of the order, consent to order, or other relevant legal documents” (for administrative actions) or “a copy of the initial complaint filed, the order resulting from the hearing, and any other relevant legal documents” (for prison prosecutions). Indiana makes use of the NIPR Attachments Warehouse – Reporting of Actions to gather these paperwork.

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

Furthermore, Indiana imposes a 10-year disqualification interval on licensed insurance coverage producers who’ve acquired a felony conviction. Only after 10 years have handed “since the date of the applicant’s conviction or release 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 the way to report a misdemeanor conviction, nonetheless, it clearly states that some misdemeanors are grounds for license revocation. According to IC 27-10-1-6, a misdemeanor is a disqualifying act “if an element of the offense involves dishonesty, violence, or a deadly weapon.” Aside from that, looks like a misdemeanor doesn’t disqualify somebody from preserving their insurance coverage license.

Just like 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 release 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 comply with the identical procedures as described.

How to resume my Iowa insurance coverage license after a prison conviction

Iowa’s insurance coverage code states in Section 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 “final disposition of the matter”).
• Any prison prosecution of the producer taken in any jurisdiction (from the “initial pretrial hearing date”).

To do that, the regulation specifies:

• For administrative actions: The report “shall include a copy of the order, consent to the order, and other relevant legal documents.”
• For prison prosecution: The report “shall include a copy of the initial complain filed, the order resulting from the hearing, and any other relevant legal documents.”

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 completely different reporting necessities for felonies versus misdemeanors. It merely states that licensed producers should report new prison prosecutions to the division of insurance coverage inside 30 days. Iowa regulation additionally doesn’t point out any misdemeanors that might 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 comply with the identical procedures as described.

How to resume my Kansas insurance coverage license after a prison conviction

According the Kansas Insurance Department’s web site, licensed producers (each resident and nonresident) are “required to notify the Department of, within 30 days of occurrence, any regulatory actions, terminations for cause, actions taken against a license in another state, and new convictions.”

To do that, the state says to e mail the Department at KID.licensing@ks.gov with the topic line “Report of Action.”

What about misdemeanors in Kansas?

Kansas doesn’t distinguish between misdemeanors and different sorts 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 in search of to resume their Kansas license after a conviction?

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

How to resume my Kentucky insurance coverage license after a prison conviction

Kentucky’s revised statutes, Section 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 “final disposition of the matter.”)

This report should embody:

• 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 remaining judgment.

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

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

This report should embody:

• 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 remaining judgment.

Specifically, in relation to reporting prison complaints, info, or indictments, if the scenario hasn’t been resolved inside 30 days of a licensed producer receiving discover of this stuff, the licensee has 30 days “following the resolution of the charges” to submit a duplicate of the decision and/or remaining judgment to the Kentucky insurance coverage commissioner.

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

ATTN: Civil/Criminal Violation Reports

Agent Licensing Division

909 Leawood Drive

Frankfort, Kentucky 40601

What about misdemeanors in Kentucky?

We advocate doing all of your due diligence, nonetheless, Kentucky’s regulation is evident that in relation to new insurance coverage license candidates, candidates can omit disclosing “misdemeanor traffic offenses and juvenile offenses.” One could infer {that a} present licensee needn’t report newly occurring misdemeanor visitors offenses. Aside from this one very particular sort of crime, Kentucky requires license candidates and present licensees to report “any criminal complaint, information, 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 comply with the identical tips as resident producers.

How to resume my Louisiana insurance coverage license after a prison conviction

According to Louisiana Revised Statutes Section 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 “final disposition of the matter”).
  • This report shall embody a duplicate of the order, consent to order, or different related authorized paperwork.
• A conviction in district court docket 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, suspend, revoke, or refuse to issue, renew, or reinstate an insurance producer license” (or difficulty a advantageous) to a licensed insurance coverage producer who’s convicted of – or pleads nolo contendere to – “any felony…or conviction of any misdemeanor involving moral turpitude or public corruption.”

Furthermore, the regulation states, not reporting these as required, throughout the 30-day timeframe, 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?

While 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 comply with the procedures outlined above.

One remaining observe on insurance coverage licensing and prison convictions in Louisiana

Louisiana specifies that it’s not simply the person producer who will be in bother for his or her prison exercise. Other people and enterprise entities can even have their insurance coverage licenses revoked, suspended, and so forth. 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 difficulty, renew, or reinstate an insurance coverage producer license, or could levy a advantageous 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, without the consent of or a waiver from the commissioner, has employed or has allowed to associate with his business, in any manner, any person engaged in the business of insurance who has been convicted of a felony under the laws of this state or any other state or territory, the District of Columbia, the United States, or any foreign country.”

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

How to resume my Maine insurance coverage license after a prison conviction

The Maine insurance coverage code states in Section 1420-P that “a producer shall report to the superintendent any administrative action taken against the producer in another jurisdiction” or by one other Maine governmental company “within 30 days of the final disposition of the matter.” The report is required to incorporate “a copy of the order, consent to order, or other relevant legal documents.”

Maine regulation additionally states that, for prison actions, a producer has 30 days from the preliminary pretrial listening to date to “report to the superintendent any criminal prosecution of the producer taken in any jurisdiction.” This report should comprise “a copy of the initial complaint filed, the order resulting from the hearing, and any other relevant legal documents.”

The Maine Bureau of Insurance 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 instantly at inisurance.pfr@maine.gov.

The state of Maine doesn’t say that reporting new administrative actions or prison actions will essentially end in shedding an insurance coverage license. However, the regulation says the superintendent “may place on probation, suspend, revoke or refuse to issue or renew an insurance producer’s license or may 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?

According to e mail correspondence with the Maine Bureau of Insurance, all prison historical past and new prison convictions and pending fees (together with misdemeanors) have to be reported, aside from the next:

• Traffic 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 comply with the identical tips as resident producers.

One remaining observe on insurance coverage licensing and prison convictions in Maine

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

“Effect on business entity. The license of a business entity may be suspended, revoked or refused if the superintendent finds, after hearing, that an individual licensee’s violation was known or should have been known by one or more of the partners, officers or managers acting on behalf of the partnership or corporation 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

How to resume my Maryland insurance coverage license after a prison conviction

Maryland insurance coverage code part 10-126 states that “The Commissioner may deny a license…or suspend, revoke, or refuse to renew or reinstate a license” if the licenseholder has (amongst an extended listing of different circumstances):

• Been convicted by remaining judgment in any state or federal court docket 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

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

Like most states, Maryland regulation permits the state to comply with swimsuit 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.

While 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 prison 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 embody a duplicate of the order, consent order, and another related authorized paperwork.

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

• A judicial officer of the district court docket as a result of an arrest;
• The district court docket in response to a summons;
• The circuit court docket as a result of execution of a warrant; or
• The circuit court docket in individual or by written discover of counsel in response to a summons.

In any case, the producer should embody a duplicate of the charging doc, any order issued by a court docket, and another related authorized paperwork.

To report both an administrative motion or prison 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 Vehicle Law or the vehicle laws of other states.” Aside from 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 producers holding a nonresident Maryland license ought to comply with the identical directions.

What to do when you have new prison fees or convictions

As we’ve made our manner by the following 10 states on our listing, one factor’s grow to be clear. Every state requires insurance coverage producers to report new prison exercise to the insurance coverage commissioner or division of insurance coverage, and to take action inside 30 days. Beyond that, the specifics differ.

Whether there’re exceptions to the sorts of crimes that should be reported, whether or not a producer must report fees or solely convictions, and what the possibilities are you can maintain an energetic license after reporting any sort of prison 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 prison fees or convictions, your finest guess can be to seek the advice of along with your lawyer and your state’s DOI on to be sure you fulfill any necessities. Doing nothing is assured to land you in additional bother 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. If you’re able to make compliance streamlined and automated at your insurance coverage company, service, MGA, or MGU, see how AgentSync may help.

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