215 ILCS 5/500-70
2021 Illinois Compiled Statutes|Chapter 215 - INSURANCE|215 ILCS 5/ - Illinois Insurance Code.|Article XXXI - Insurance Producers, Limited Insurance Representatives And Registered Firms

(Section scheduled to be repealed on January 1, 2027)Sec. 500-70. License denial, nonrenewal, or revocation.(a) The Director may place on probation, suspend, revoke, or refuse to issue  or renew  an insurance producer's license or may levy a civil penalty in accordance with  this Section or  take any combination of actions, for any one or more of the following causes:(1) providing incorrect, misleading, incomplete, or     materially untrue information in the license application;(2) violating any insurance laws, or violating any     rule, subpoena, or order of the Director or of another state's insurance commissioner;(3) obtaining or attempting to obtain a license     through misrepresentation or fraud;(4) improperly withholding, misappropriating or     converting any moneys or properties received in the course of doing insurance business;(5) intentionally misrepresenting the terms of an     actual or proposed insurance contract or application for insurance;(6)  having been convicted of a felony, unless the     individual demonstrates to the Director sufficient rehabilitation to warrant the public trust; consideration of such conviction of an applicant shall be in accordance with Section 500-76;(7) having admitted or been found to have committed     any insurance unfair trade practice or fraud;(8) using fraudulent, coercive, or dishonest     practices, or demonstrating incompetence, untrustworthiness or financial irresponsibility in the conduct of business in this State or elsewhere;(9) having an insurance producer license, or its     equivalent, denied, suspended, or revoked in any other state, province, district or territory;(10) forging a name to an application for insurance     or to a document related to an insurance transaction;(11) improperly using notes or any other reference     material to complete an examination for an insurance license;(12) knowingly accepting insurance business from an     individual who is not licensed;(13) failing to comply with an administrative or     court order imposing a child support obligation;(14) failing to pay state income tax or penalty or     interest or comply with any administrative or court order directing payment of state income tax or failed to file a return or to pay any final assessment of any tax due to the Department of Revenue;(15) (blank); or(16) failing to comply with any provision of the     Viatical Settlements Act of 2009.(b) If the action by the Director is to nonrenew, suspend, or revoke a  license or to  deny an application for a license, the Director shall notify the applicant or  licensee and advise, in  writing, the applicant or licensee of the reason for the suspension,  revocation, denial or  nonrenewal of the applicant's or licensee's license. The applicant or licensee  may make written  demand upon the Director within 30 days after the date of mailing for a hearing  before the  Director to determine the reasonableness of the Director's action.  The hearing  must be held  within not fewer than 20 days nor more than 30 days after the mailing of the  notice of hearing  and shall be held pursuant to 50 Ill. Adm. Code 2402.(c) The license of a business entity may be suspended, revoked, or refused  if the  Director 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, corporation, limited liability company, or limited liability  partnership and the  violation was neither reported to the Director nor corrective action taken.(d) In addition to or instead of any applicable denial, suspension, or  revocation of a  license, a person may, after hearing, be subject to a civil penalty of up to  $10,000 for each cause for  denial, suspension, or revocation, however, the civil penalty may total no more  than $100,000.(e) The Director has the authority to enforce the provisions of and impose  any penalty  or remedy authorized by this Article against any person who is under  investigation for or charged  with a violation of this Code or rules even if the person's license or  registration has been  surrendered or has lapsed by operation of law.(f) Upon the suspension, denial, or revocation of a license, the licensee or  other  person having possession or custody of the license shall promptly deliver it to  the Director in  person or by mail. The Director shall publish all suspensions, denials, or  revocations after the  suspensions, denials, or revocations become final in a manner designed to  notify interested  insurance companies and other persons.(g) A person whose license is revoked or whose application is denied  pursuant to this  Section is ineligible to apply for any license for 3 years after the revocation  or denial.  A person  whose license as an insurance producer has been revoked, suspended, or denied  may not be  employed, contracted, or engaged in any insurance related capacity during the  time the  revocation, suspension, or denial is in effect.  (Source: P.A. 100-286, eff. 1-1-18; 100-872, eff. 8-14-18.)