Department of Financial Services revamps penalty rules
The Department of Financial Services (Department) has long maintained a rule chapter, 69B-231, that is intended to establish standards for implementing Department’s duties to impose disciplinary action under sections 626.611, 626.621, 626.631, 626.641, 626.681 and 626.691, Florida Statutes, and to describe likely penalties and procedures for determining appropriate penalties for all resident and nonresident insurance agents, customer representatives, adjusters and service representatives licensed under Chapter 626 in the event of violations of the insurance code.
The Department has announced its intention to engage in rule development. The purpose of the proposed rule development is to update these rules that govern suspension and revocation of licenses of insurance agents, customer representatives, service representatives and adjusters. The amendments include adding penalties for statutes recently adopted by the Florida Legislature and deleting laws that have been repealed. The rules are also updated by increasing penalties for violating certain laws that the Department asserts require more severe penalties based on its experience in dealing with the frequency and severity of these violations. A time for a hearing, provided one is requested, has been set for Thursday, January 28, 2010, 9:00 a.m. in the Larson Building in Tallahassee, Florida.