For purposes of denial, suspension, revocation, and/or restriction of a license or license application, statutes within the Insurance Code list specific grounds and also allow for action based upon findings that include, but are not limited to, the licensee or applicant lacking integrity, having a poor business reputation, or that permitting the licensee or applicant to hold an insurance license is against the public interest. The following is a partial list of crimes or acts that are substantially related to the qualifications, functions or duties of an insurance licensee:
(a) Any felony conviction;(b) A misdemeanor conviction which evidences present or potential unfitness to perform the functions authorized by the license in the manner consistent with the public health, safety, and welfare, including but not limited to, soliciting, attempting, or committing crimes involving the following:(2) Any conviction arising out of acts performed in the business of insurance or any other licensed business or profession;(4) Sexually related conduct affecting a person who is an observer or non-consenting participant in the conduct or convictions, or which requires registration pursuant to the provisions of Section 290 of the Penal Code;(5) Resisting, delaying, or obstructing a public officer in violation of Penal Code Section 148;(6) Any act or offense wherein the person willfully causes injury to the person or property of another;(7) Violation of a relation of trust or confidence, or a breach of fiduciary duty;(8) Multiple convictions which demonstrate a pattern of repeated and willful disregard for the law.(c) Any act which demonstrates a willful attempt to derive a personal financial benefit through the nonpayment or underpayment of taxes, assessments, or levies duly imposed upon the licensee or applicant by federal, state or local government or a willful failure to comply with a court order.Cal. Code Regs. Tit. 10, § 2183.2
1. New section filed 1-23-2007; operative 2-22-2007 (Register 2007, No. 4). Note: Authority cited: Section 12921, Insurance Code. Reference: Sections 1668, 1668.1, 1668.5, 1669, 1738, 1742, 1743, 1805, 1806, 1807, 14026.5, 14028, 14028.5, 14061, 14061.5, 15011, 15018, 15018.5, 15039 and 15039.5, Insurance Code.
1. New section filed 1-23-2007; operative 2-22-2007 (Register 2007, No. 4).