Transfer of License from Another State
An individual licensed in good standing in another state may apply to the department to have the license transferred to Florida to obtain a resident agent or all-lines adjuster license for the same lines of authority covered by the license in the other state. To qualify for a license transfer, an applicant must meet the following requirements:
- The individual must become a resident of Florida
- The individual must have been licensed in another state for a minimum of one year immediately preceding the date the individual became a resident of Florida
- The individual must submit a completed application for Florida, received by the department within 90 days after residency is established, along with payment of the applicable fees and submission of:
- Certification from the applicant’s home state identifying the type of license, lines of authority, and a statement that the applicant was in good standing
- Set of applicant’s fingerprints
- The individual must satisfy prelicensing education requirements in Florida, unless the completion of prelicensing education requirements were a prerequisite for licensure in the home state and are substantially equivalent
- The individual must satisfy examination requirements, unless exempted
An applicant satisfying the requirements for a license transfer will be approved for licensure in Florida unless grounds exist for refusal, suspension, or revocation of a license. [Source: §626.292]
Effect of Expiration of License and Appointment
Once an individual’s appointment expires, the individual cannot engage or attempt to engage in any activity requiring an appointment.
When a licensee’s last appointment has been terminated or not renewed, the licensee will be notified that eligibility for appointment will expire unless he or she is appointed prior to expiration of the 48-month period.
An individual who fails to maintain an appointment with an appointing entity writing the class of business listed on his or her license during any 48-month period will not be granted an appointment for that class of insurance until he or she qualifies as a first-time applicant. [Source: §626.431]
A license or appointment issued is valid only as to the person named and is not transferable to another. As a licensee or appointee, you cannot allow anyone to transact insurance utilizing your license or appointment. [Source: §626.441]
The department will specify the period during which a suspension is in effect, not to exceed two years. A suspended license will not be reinstated except on the filing and approval of an Application for Reinstatement and, in the case of a second suspension, completion of continuing education courses prescribed by the department.
If any of an individual’s licenses has been revoked two separate times, the department may not grant or issue any license to the individual. The same applies if a license has been revoked resulting from the solicitation or sale of an insurance product to a person 65 years of age or older.
During the period of suspension or revocation, the former licensee may not engage in or profess to engage in any transaction or business for which a license or appointment is required, or own, control, or be employed in any manner by an agent, agency, adjuster, or adjusting firm. [Source: §626.641]
Though issued to a licensee, all licenses are the property of the State of Florida. On notice of any suspension, revocation, refusal to renew, failure to renew, expiration, or other termination of the license, the license will no longer be in force and effect. This is not indicative of a requirement to surrender any license unless the department has requested surrender. [Source: §626.661]
Grounds for Refusal, Suspension, or Revocation
The department will deny an application for, suspend, revoke, or refuse to renew the license or appointment of any applicant, agent, title agency, adjuster, customer rep, service rep, or managing general agent if it finds any one or more of the circumstances listed in Appendix A. In transactions related to viatical settlement contracts, grounds include:
- Commission of a fraudulent or dishonest act
- No longer meeting the requirements for initial licensure
- Receiving a fee, commission, or other valuable consideration for services involving unlicensed viatical settlement providers
- Dealing in bad faith
The department can impose any form of suspension, revocation, or denial if it finds the agency has experienced any of the following:
- Lack of qualifications for the license
- Misstatement, misrepresentation, or fraud in obtaining or attempting to obtain the license
- Denial, suspension, or revocation of a license to practice any regulated profession relating to the business of insurance by any state or lawful agency
If the department finds grounds for suspension, revocation, or refusal, it may impose a penalty:
- For individuals: up to $500, or up to $3,500 for willful misconduct or violation
- For insurance agencies: up to $10,000 per violation
The penalty may be augmented by an amount equal to any commissions received in connection with any transaction as to which grounds for suspension, revocation, or refusal relate. [Source: §626.681]
In lieu of or in addition to suspension or revocation, the department may place the offender on probation for a period not to exceed two years. As a condition of probation, the department may order reasonable terms and conditions to be fulfilled. If the probationer violates a term or condition, the department will suspend, revoke, or refuse to continue the license. [Source: §626.691]
If grounds exist for the suspension, revocation, or refusal of a license or appointment, the department may order the licensee to pay restitution to any person deprived of money by the licensee’s misappropriation, conversion, or unlawful withholding of funds. In no instance is the amount of restitution required to exceed the amount of money misappropriated. [Source: §626.692]
The penalty guidelines for insurance representatives are contained within the Florida Administrative Code & Florida Administrative Register under Rule 69B-231. Each category details specific violations, their penalties, proceedings, and mitigating factors. [Chapter 69B-231]
If any one license is suspended, revoked, or refused renewal, the department will suspend or revoke all other licenses, appointments, or status of eligibility held by the licensee or appointee. Anyone who knowingly is a party to the act that formed the ground for the suspension or revocation may also be suspended or revoked. [Source: §626.651]
Once the license of an insurance agency is suspended or revoked, the department may at the same time revoke or suspend the license of any other insurance agency under the management, ownership, control, or directorship of anyone who participated in the activities that resulted in the action. [Source: §626.6515]
Procedures for Verifying Licensed Agents
The Division of Insurance Agent & Agency Services recommends the following procedures for researching whether an insurance company is properly licensed to transact insurance in Florida.
The Office of Financial Regulation (OFR) oversees securities regulation. To check licensing/registration status call the OFR at 1-850-487-9687 or use their online search.
Always go to https://companysearch.myfloridacfo.gov to search for insurance companies authorized to do business in Florida. View the list of unauthorized entities that have had action taken against them in the state of Florida.