Chapter 1 — Regulatory Awareness

The license of a life agent covers all classes of life insurance business. The license of a health agent covers all types of health insurance and is not limited to a particular class of health insurance.

At any time while a license is in force, an insurer may apply to the department on behalf of a licensee for an appointment. On receipt of the appointment application, taxes and fees, the department may issue the additional appointment without further investigation of the applicant. [Source: §626.311, §626.311(2), §626.311(3)]

An individual not a resident of Florida may be licensed and appointed to represent an authorized life insurer domiciled in Florida or an authorized foreign life insurer which maintains a regional home office in Florida, provided the individual represents the insurer exclusively at a U.S. military installation located in a foreign country. [Source: §626.322]

The same individual can, at any one time, hold all categories of appointments for which they have qualified and been licensed. However, a title agent or title agency is limited to selling title insurance only for the appointing title insurer.

An agent is required to have a separate appointment for each insurer by whom they are appointed. An agent must appoint himself or herself before performing the functions of a viatical settlement broker. The department may issue a single appointment covering life and health insurances to an individual licensed in both and appointed as agent of both by the same insurer. [Source: §626.331]

While a licensee’s license is in force, an insurer may apply for an additional appointment for the licensee as a general lines, life, or health agent for additional insurers. The application must contain all the required information and fees. The department can then issue the additional appointment without further investigation. [Source: §626.341]

An insurer, a managing general agent, an insurance agency, or an agent may not furnish any blank forms, applications, stationery, or other supplies to be used in soliciting, negotiating, or effecting contracts of insurance unless such supplies relate to a class of business for which the agent is licensed and appointed. [Source: §626.342]

All initial appointments must be submitted to the department on a monthly basis no later than 45 days after the date of appointment and become effective on the date requested on the appointment form.

• Failure to notify the department within the required time period results in the appointing entity being assessed a delinquent fee of $250 per appointee
• Failure to timely renew an appointment results in the appointing entity being assessed late filing, continuation, and reinstatement fees. Fees must be paid by the appointing entity and cannot be charged back to the appointee

An appointment continues in force until suspended, revoked, or otherwise terminated, but is subject to a renewal request filed by the appointing entity every 24 months, accompanied by payment of the renewal appointment fee and taxes. Each appointing entity may appoint only those persons who have met the continuing education requirements. [Source: §626.381]

Upon the expiration of any person’s appointment, the person shall be without any authority conferred by the appointment and shall not engage or attempt to engage in any activity requiring an appointment. When a licensee’s last appointment has been terminated or not renewed, the department must notify the licensee that eligibility for appointment will expire unless they are appointed prior to expiration of the 48-month period. [Source: §626.431]

• In the case of individuals, new or continued appointments effectuated in a licensee’s birth month expire 24 months later on the last day of the licensee’s birth month, and every 24 months thereafter
• In the case of entities, new or continued appointments effectuated in the same month a licensee was first licensed expire 24 months later on the last day of the license issue month, and every 24 months thereafter
• Appointments effectuated during any other month are valid for not less than 24 months and no longer than 36 months — the minimum and maximum necessary to convert the original issue month to the licensee’s birth month or license issue month

When an appointing entity terminates the appointment of an appointee and files written notice with the department, the department will terminate the appointment. The date of termination on department records will be the effective date as indicated by the appointing entity’s filing or, if no date is indicated, the date on which the department received the filing. [Chapter 69B-211.007]

A license or appointment is valid only as to the person named and is not transferable to another person. No licensee or appointee shall allow any other person to transact insurance by utilizing the license or appointment issued to such licensee or appointee. [Source: §626.441]

Each entity appointing an agent, adjuster, service rep, customer rep, or managing general agent in Florida must file the appointment and pay the applicable fees. By authorizing an appointment, the appointing entity is certifying that an investigation of the licensee has been conducted and that the licensee is of good moral character and reputation, and fit to engage in the insurance business.

• Each appointing entity must advise the department, in writing, within 15 days after it becomes aware that an appointee is a defendant of a felony after being appointed
• Each licensee must advise the department, in writing, within 30 days after having become a defendant of a felony or crime punishable by imprisonment of one year or more

Subject to renewal, the appointment will continue in effect until the person’s license is revoked or otherwise terminated, unless written notice of earlier termination of the appointment is filed. [Source: §626.461]

An appointing entity can terminate its appointment of any appointee at any time. Except when termination is on grounds for suspension or revocation, the appointing entity must give at least 60 days’ written notice of its intention to terminate, delivered in person or by mailing to the appointee’s last known address. Mailed notices are deemed served when deposited in the U.S. mail.

Within 30 days after terminating an appointment, the appointing entity must file written notice and a statement that it has given the appointee written notice as required, along with an addendum stating the reasons and facts resulting in termination. [Source: §626.471]

An insurer terminating the appointment of an agent is required to file a statement of the reasons, if any, for and the facts relative to the termination. Any information, document, record, or statement furnished to the department is confidential. [Source: §626.511]

If a licensee is convicted by a court for violating Florida code or committing a felony, the licenses and appointments of the person are immediately revoked. The licensee may subsequently request a hearing, which the department will expedite. The sole issue at a hearing is whether the revocation should be rescinded because the person was not in fact convicted.

The papers, documents, reports, or evidence of the department relative to a hearing for revocation or suspension of a license are confidential and exempt from Public Records until after they have been published at the hearing. However, such documents are subject to discovery in the hearing. [Source: §626.631]