On a daily basis, each and every person takes part in things that are in some way risky, dangerous, hazardous, or unsafe no matter how careful we are. Even just driving down the street and picking up dinner runs the risk of getting in a car accident. Car accidents, for example, can lead to serious financial burdens such as car repairs, emergency medical care, physical therapy bills, loss of employment, and more.
All of these extra expenses are usually unforeseeable and the only way to prepare for it is to have insurance. Insurance agents play such a vital role in society by helping people prepare for the inevitable mistakes and accidents that can occur just by living day-to-day life. Agents are required to be ethical, professional, and extremely knowledgeable when it comes to dealing with clients and their individual and specific needs.
Insurance Agent Licenses and Regulations
In order to become a licensed insurance agent, there are several steps that a person needs to go through. The first requirement is completing a pre-licensing course and a certification exam that prepares one for passing the state licensing exam. The exam covers all different types of insurance, including life, accident and health, property, casualty, and personal. Upon passing the exam, the potential licensee must apply for a license and while working as an insurance agent, continue to complete the required continuing education credits.
The Connecticut Commissioner of Insurance is the head officer of the Connecticut Insurance Department, who regulates insurance agents and the industry in the state. The Commissioner has the authority to place insurance agents on probation, suspend, revoke, or refuse a license for certain actions, including:
Providing incorrect, misleading, untrue, or incomplete information on a license application.
Violating insurance laws, regulations, subpoenas, orders, or any demands by the Commissioner, which is also relevant to requests and demands made during an investigation.
Getting an insurance license through misrepresentation or fraudulent conduct.
Misappropriating, converting, or withholding money or property that was received during the course of business.
Intentionally misrepresenting the terms in an insurance contract.
Participating in unfair trade practices of fraud.
Fraud, coercing, dishonesty in the practice.
Incompetence when it comes to job duties.
Failing to comply with a court order, administrative order, child support obligations, or income tax.
The authority of the Commissioner is not limited to these actions, but these are the major actions that are directly in violation of the law and likely to result in serious consequences and disciplinary action. The Commissioner can deny, suspend, or revoke a license only after the opportunity for an administrative hearing. The Commissioner can also subject insurance companies or licensees to civil fines or other penalties.
If you are a licensed insurance agent and have received notice from the Commissioner that you are facing disciplinary action and fear that your license is in jeopardy, call and speak with one of our experienced attorneys who can answer any questions you have.