Pursuant to the 1994 Violent Crime Control Act, 18 U.S.C. § 1033, a person who has a felony conviction involving dishonesty or a breach of trust on record cannot engage in the business of insurance without first obtaining written consent of the insurance commissioner. Under the federal law, a ‘conviction’ for purposes of this prohibition from engaging in insurance, includes cases where there is an admission of guilt, followed by a deferred judgement where the charges are then dismissed, such as with a plea in abeyance agreement. Please be aware of the following required process for requesting this consent.
A request for the commissioner’s written consent to engage or participate in the business of insurance is initiated by filing a request for agency action. To make the request, please complete the Request for Agency Action form and send it to firstname.lastname@example.org. After the form is received, you will be notified about the next step in the process.
Written consent will be granted if, in the commissioner’s sole discretion, a preponderance of the evidence shows that you are trustworthy to engage or participate in the insurance business. The following are relevant to that determination:
- Any materially false or misleading statement or omission in the request for agency action;
- The nature, severity, and number of the petitioner’s crimes;
- The petitioner’s age at the time the crimes were committed;
- The petitioner’s punishment for the crimes;
- The length of time since the petitioner’s most recent conviction;
- The petitioner’s rehabilitation, including evidence of counseling, community service, completion of probation, and payment of restitution, fines, and interest if applicable;
- Current reference letters;
- The presence of any fact or circumstance in the petitioner’s current life that may have motivated the petitioner to commit crime in the past;
- Any unpaid judgment;
- If the petitioner intends to apply for an insurance license, the duties of a holder of that type of license;
- The extent to which the petitioner, if granted a license, will work under the supervision of another licensee or another person;
- The petitioner’s trustworthiness in employment, community service, or other endeavors since the most recent conviction;
- Information received from the National Association of Insurance Commissioners and any insurance regulatory official;
- Whether the petitioner has had any occupational or professional licenses, certifications, or designations revoked and, if so, the basis for the revocation; and
- Whether the petitioner has previously requested written consent in any jurisdiction and, if so, the outcome of that request.
Feel free to contact the Producer Licensing Division at (801) 538-3855 should you have any questions.