2023 New York Laws › ISC - Insurance › Article 21 - Agents, Brokers, Adjusters, Consultants and Intermediaries › 2110 - Revocation or Suspension of License of Insurance Producer, Insurance Consultant, Adjuster or Life Settlement Broker.

§  2110.  Revocation  or  suspension of license of insurance producer,
insurance consultant,  adjuster  or  life  settlement  broker.  (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,  adjuster  or  life  settlement broker, 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  or  of  another  state's   insurance
commissioner,  or  has  violated  any  law  in  the course of his or her
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,   life  settlement  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,  a  life settlement broker
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 life
settlement contract or to any document related to an insurance  or  life
settlement transaction;
(11) improperly used notes or any other reference material to complete
an  examination  for  an  insurance  license  or  life settlement broker
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;
(14)  failed to pay state income tax or comply with any administrative
or court order directing payment of state income tax;
(15) while acting as a public adjuster, the licensee has failed to act
on behalf and in the best interests of the insured when negotiating  for
or  effecting  the  settlement of an insurance claim for such insured or
otherwise acting as a  public  adjuster,  or  has  failed  to  make  the
disclosures  required  by paragraph two of subsection (s) of section two
thousand one hundred eight of this article;
(16) while acting as a life settlement broker, failed to  protect  the
privacy  of  the  insured  or  owner  or  other person for whom the life
settlement broker was required to provide protection pursuant to article
seventy-eight of this chapter; or
(17) ceased to meet the requirements for licensure under this chapter.
(b) Before  revoking  or  suspending  the  license  of  any  insurance
producer,  life  settlement  broker  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  four of the
financial services law.
(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.