State RegulationsFL specificDifficulty 3/5
A Florida agent is accused of converting a customer's premium funds for personal use. Which authority suspends or revokes the agent's license after notice and a hearing?
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Answer & full 3-part explanation (select an option above, or peek)
Why B is correct
Under Chapter 626, Florida Statutes, licensing and discipline of insurance agents is enforced by the Florida Department of Financial Services under the Chief Financial Officer. DFS investigates agent misconduct such as theft of premiums and may suspend or revoke a license after notice and an opportunity for a hearing. The Office of Insurance Regulation regulates insurers rather than disciplining individual agents.
Why the other options are wrong
- A) The Office of Insurance Regulation supervises insurers, their rates, forms, and solvency; discipline of individual agents belongs to the Department of Financial Services.
- C) Circuit court clerks perform court-record duties and have no authority over insurance licenses.
- D) The Financial Services Commission appoints regulators and adopts rules; it does not conduct individual agent disciplinary hearings.
Memory hook
Agents answer to the CFO's DFS, not to the OIR.