§ 27-2.4-14. Licenses — Denial — Nonrenewal — Suspension or revocation.
(a) The insurance commissioner may place on probation, suspend, revoke, or refuse to issue
or renew an insurance producer's license or may levy an administrative penalty in
accordance with § 42-14-16 or 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) Violati!ng any insurance laws, or violating any regulation, subpoena, or order of
the insurance commissioner 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 monies 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;
(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 this state or in another place;
(9) Having an insurance producer license, or its equivalent, denied, suspended, or revoked
in any other state, province, district, or territory or administrative action under
this section;
(10) Forging another's name to an application for insurance or to any document related
to an insurance transaction;
(11) Cheating on 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;
or
(14) Failing to pay state income tax or comply with any administrative or court order directing
payment of state income tax.
(b) In the event that the action by the insurance commissioner is to nonrenew or to deny
an application for a license, the insurance commissioner shall notify the applicant
or insurance producer and advise, in writing, the applicant or insurance producer
of the reason for the denial or nonrenewal of the applicant's or insurance producer's
license. The applicant or insurance producer may make written demand upon the insurance
commissioner within thirty (30) days for a hearing before the insurance commissioner
to determine the reasonableness of the insurance commissioner's action. The hearing
shall be conducted pursuant to the Administrative Procedures Act, chapter 35 of title 42.
(c) In addition to or in lieu of any applicable denial, suspension, or revocation of a
license, a person may, after hearing, be subject to an administrative fine in accordance
with § 42-14-16.
(d) The insurance commissioner shall retain the authority to enforce the provisions of
and impose any penalty or remedy authorized by this chapter and this title against
any person who is under investigation for or charged with a violation of this chapter
or this title even if the person's license or registration has been surrendered or
has lapsed by operation of the law.