State RegulationsOH specificDifficulty 1/5
Which of the following is a ground for disciplinary action against an Ohio insurance producer under ORC 3905.14?
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Answer & full 3-part explanation (select an option above, or peek)
Why C is correct
ORC 3905.14(B), including the misappropriation ground at ORC 3905.14(B)(4), makes improperly withholding, misappropriating, or converting money received in an insurance transaction a ground for suspension, revocation, or a civil penalty of up to $25,000 per violation under ORC 3905.14(E)(1). Premium dollars belong to the client or the insurer, and diverting them strikes at the core of the producer's fiduciary role.
Why the other options are wrong
- A) Ohio imposes no minimum production quota; failing to sell a set number of policies is not a disciplinary ground under ORC 3905.14.
- B) Moving within Ohio is lawful, provided the producer reports the change of address to the superintendent within 30 days under ORC 3905.061 and OAC 3901-5-09(A)(9).
- D) Nothing in ORC 3905.14 requires a producer to sell outside any particular community; the geography of sales is not a disciplinary issue.
Memory hook
Take the client's money for yourself and ODI takes your license.