2006 New York Code - Revocation Or Suspension Of License Of Insurance Producer, Insurance Consultant Or Adjuster.

 
    §  2110.  Revocation  or  suspension of license of insurance producer,
  insurance consultant or adjuster. (a) The superintendent may  refuse  to
  renew, revoke, or may suspend for a period the superintendent determines
  the license of any insurance producer, insurance consultant or adjuster,
  if,  after  notice  and  hearing, the superintendent determines that the
  licensee or any sub-licensee has:
    (1) violated any insurance laws, or violated any regulation,  subpoena
  or  order  of  the  superintendent  of  insurance  or of another state's
  insurance commissioner, or has violated any law in  the  course  of  his
  dealings in such capacity;
    (2)  provided  materially incorrect, materially misleading, materially
  incomplete or materially untrue information in the license application;
    (3)   obtained   or   attempted   to   obtain   a   license    through
  misrepresentation or fraud;
    (4)(A) used fraudulent, coercive or dishonest practices;
    (B) demonstrated incompetence;
    (C) demonstrated untrustworthiness; or
    (D) demonstrated financial irresponsibility in the conduct of business
  in this state or elsewhere;
    (5)  improperly  withheld,  misappropriated or converted any monies or
  properties  received  in  the  course  of  business  in  this  state  or
  elsewhere;
    (6)  intentionally  misrepresented  the terms of an actual or proposed
  insurance contract or application for insurance;
    (7) has been convicted of a felony;
    (8) admitted or been found to  have  committed  any  insurance  unfair
  trade practice or fraud;
    (9)  had  an  insurance  producer  license, or its equivalent, denied,
  suspended  or  revoked  in  any  other  state,  province,  district   or
  territory;
    (10)  forged  another's name to an application for insurance or to any
  document related to an insurance transaction;
    (11) improperly used notes or any other reference material to complete
  an examination for an insurance license;
    (12) knowingly accepted insurance business from an individual  who  is
  not licensed;
    (13) failed to comply with an administrative or court order imposing a
  child support obligation; or
    (14)  failed to pay state income tax or comply with any administrative
  or court order directing payment of state income tax.
    (b) Before  revoking  or  suspending  the  license  of  any  insurance
  producer  or  other licensee pursuant to the provisions of this article,
  the superintendent shall, except when proceeding pursuant to  subsection
  (f)  of  this  section,  give  notice  to  the  licensee  and  to  every
  sub-licensee and shall hold, or cause to be held,  a  hearing  not  less
  than ten days after the giving of such notice.
    (c)  If  an  insurance  producer's license or other licensee's license
  pursuant to the provisions of this article is revoked  or  suspended  by
  the superintendent, he shall forthwith give notice to the licensee.
    (d)  The  revocation or suspension of any insurance producer's license
  or other licensee's license pursuant to the provisions of  this  article
  shall  terminate  forthwith  such producer's license or other licensee's
  license and the authority conferred thereby upon all sub-licensees.
    (e) (1) No individual, corporation, firm or association whose  license
  as  an insurance producer or other licensee subject to subsection (a) of
  this section has been revoked, and no firm or association of which  such
  individual  is  a member, and no corporation of which such individual is
  an officer or director, shall be entitled to obtain  any  license  under
  the  provisions  of  this  chapter  for  a period of one year after such
  revocation, or, if such revocation be judicially reviewed, for one  year
  after  the  final  determination  thereof  affirming  the  action of the
  superintendent in revoking such license.
    (2)  If any such license held by a firm, association or corporation be
  revoked, no member of  such  firm  or  association  and  no  officer  or
  director of such corporation shall be entitled to obtain any license, or
  to  be  named as a sub-licensee in any such license, for the same period
  of time, unless the superintendent determines, after notice and hearing,
  that such member, officer or director was not personally at fault in the
  matter on account of which such license was revoked.
    (f) (1) As used in this subsection, "non-resident insurance producer's
  license or sub-license" means a license or sub-license in such  capacity
  issued  pursuant  to  paragraph  five  of  subsection (g) of section two
  thousand one hundred three or subsection (e) of section two thousand one
  hundred four of this article.
    (2) A non-resident insurance producer's license or sub-license may  be
  summarily  revoked in the event that the licensee's license as an agent,
  broker, adjuster or in any other capacity under the insurance law of the
  licensee's home state of  domicile  or  such  license  of  the  firm  or
  association of which the licensee is a member, employee or sub-licensee,
  or  such license of the corporation of which the licensee is an officer,
  director, employee or sub-licensee has  been  suspended  or  revoked  or
  renewal  thereof  denied  in  the licensee's home state of domicile by a
  procedure affording to the  licensee  or  it  a  statutory  right  to  a
  hearing,  for action or conduct which, if it had been established upon a
  hearing before the superintendent, would have  constituted  grounds  for
  revocation of a license under subsection (a) of this section.
    (3) Before revoking the license of any non-resident insurance producer
  in accordance with this section, the superintendent shall give ten days'
  notice  in  writing to such producer of the action proposed to be taken,
  which notice shall be given in accordance with the applicable provisions
  of subsections (a) and (d)  of  section  three  hundred  three  of  this
  chapter.
    (4) Upon submission to the superintendent of satisfactory proof that a
  suspension  or  revocation of a license issued by a home state to act as
  an insurance agent, insurance broker, adjuster or  in  another  licensed
  capacity  under  the  insurance  law  of such other state or a denial of
  renewal thereof has been duly withdrawn, set aside, reversed or  voided,
  the  superintendent  shall  thereupon  reinstate and restore any and all
  licenses revoked in accordance with the provisions of this subsection.
    (g) If any licensed insurance producer or any person  aggrieved  shall
  file  with  the  superintendent a verified complaint setting forth facts
  tending to show sufficient ground for the revocation  or  suspension  of
  any  insurance  producer's  license,  or if any licensed adjuster or any
  person aggrieved files with  the  superintendent  a  verified  complaint
  setting  forth  facts  showing  sufficient grounds for the suspension or
  revocation of any adjuster's license, the  superintendent  shall,  after
  notice  and a hearing, determine whether such license shall be suspended
  or revoked.
    (h) The superintendent shall  retain  the  authority  to  enforce  the
  provisions  of  and  impose  any  penalty  or  remedy authorized by this
  chapter against any person or entity who is under investigation  for  or
  charged  with  a  violation  of  this  chapter,  even if the person's or
  entity's license or registration has been surrendered, or has expired or
  has lapsed by operation of law.
    (i)  A  licensee  subject  to  this  article  shall  report   to   the
  superintendent  any  administrative action taken against the licensee in
  another jurisdiction or by another governmental  agency  in  this  state
  within  thirty  days of the final disposition of the matter. This report
  shall include a copy of the order, consent to order  or  other  relevant
  legal documents.
    (j)  Within  thirty  days  of  the  initial  pretrial  hearing date, a
  licensee subject to this article shall report to the superintendent  any
  criminal  prosecution  of  the  licensee  taken in any jurisdiction. The
  report shall include a copy of the initial complaint  filed,  the  order
  resulting from the hearing and any other relevant legal documents.