Sec. 1214.
(1) An application for a license to act as a solicitor shall be made to the commissioner and shall be accompanied by a notice of appointment from the sponsoring licensed insurance producer. The application and the notice of appointment shall be on forms prescribed by the commissioner.
(2) Within a reasonable time after receipt of a properly completed application and notice of appointment forms, the commissioner shall subject the applicant to a written examination. The examination shall be given only after the applicant has completed a program of study registered with the commissioner as provided in section 1204a. A certificate of completion of the registered program of study shall be filed with the commissioner on a form prescribed by the commissioner and shall indicate that the course of study was completed by the applicant not more than 6 months before the application is received by the commissioner. An applicant who has failed to pass the examination may take subsequent examinations as determined by rules promulgated by the commissioner. The commissioner may waive the examination or program of study requirements of this section for a person who applies for a limited lines license as designated by the commissioner or for a person who has been licensed as an insurance producer or solicitor within the preceding 12 months. The commissioner may conduct investigations and propound interrogatories concerning the applicant's qualifications, residence, business affiliations that are relevant to the applicant's qualifications as a solicitor, and any other matter the commissioner considers necessary or advisable to determine compliance with this chapter, or for protection of the public. The commissioner shall make a decision on the application within 60 days after the applicant passes the examination or within 60 days after receipt of a properly completed application and notice of appointment forms.
(3) After examination, investigation, and interrogatories, the commissioner shall license an applicant if the commissioner determines that the applicant meets all of the following:
(a) Is authorized by written contract to act on behalf of a licensed insurance producer.
(b) Possesses reasonable understanding of the provisions, terms, and conditions of the insurance the applicant will be licensed to solicit.
(c) Possesses reasonable understanding of the insurance laws of this state.
(d) Intends in good faith to act as a solicitor.
(e) Is honest and trustworthy.
(f) Possesses a good business reputation.
(g) Possesses good moral character to act as a solicitor.
(4) The commissioner may require an applicant or a licensed solicitor to disclose fully the identity of his or her employers, partners, and employees, may propound reasonable interrogatories, and may refuse to issue or to continue a license if the commissioner is satisfied that any employer, partner, or employee who can materially influence the applicant or the solicitor is not a fit and proper person under the standards of this chapter and that the action reasonably is necessary to protect the public.
(5) An applicant may act on behalf of the applicant's sponsoring insurance producer after receipt of a license from the commissioner.
(6) The license shall set forth the name of the solicitor and the lines of insurance permitted by the license. A person who is licensed to act as a solicitor for casualty insurance is permitted to act as a solicitor for legal expense insurance without obtaining additional authorization or licensure from the commissioner.
(7) The license shall continue in effect until suspended or revoked by the commissioner or voluntarily surrendered by the licensee. The commissioner shall demand that the licensee surrender the license when the commissioner's records indicate that the licensee is without authority from any insurance producer to act as a solicitor.
(8) The commissioner may reexamine a licensed solicitor at any time upon written notice with stated reasons.
History: Add. 1972, Act 133, Eff. Mar. 30, 1973 ;-- Am. 1980, Act 390, Imd. Eff. Jan. 7, 1981 ;-- Am. 1981, Act 1, Imd. Eff. Mar. 30, 1981 ;-- Am. 1982, Act 501, Imd. Eff. Dec. 31, 1982 ;-- Am. 1986, Act 173, Imd. Eff. July 7, 1986 ;-- Am. 2001, Act 228, Eff. Mar. 1, 2002 Popular Name: Act 218
Structure Michigan Compiled Laws
Chapter 500 - Insurance Code of 1956
Act 218 of 1956 - The Insurance Code of 1956 (500.100 - 500.8302)
218-1956-12 - Chapter 12 Agents, Solicitors, Adjusters, and Counselors (500.1200...500.1247)
Section 500.1200 - “Good Moral Character” Defined.
Section 500.1201 - Definitions.
Section 500.1202 - Insurance Producer License; Definitions.
Section 500.1204b - Repealed. 2017, Act 67, Imd. Eff. June 30, 2017.
Section 500.1204e - Nonresident License Applicant; Requirements.
Section 500.1208 - Insurance Effected by Agent on Certain Risks; Limitation.
Section 500.1210 - Accident and Health Insurance Agent as Health Benefit Agent.
Section 500.1211a - Assumed Name; Use.
Section 500.1211b - Temporary License.
Section 500.1222 - Adjuster's License Required; Exemptions.
Section 500.1227 - Conduct of Adjuster; Prohibitions.
Section 500.1228 - Records of Adjuster.
Section 500.1236 - Written Agreement Between Insurance Counselor and Client.
Section 500.1240 - Payment or Acceptance of Commission, Service Fee, or Valuable Consideration.
Section 500.1243 - Definitions; Sale of Insurance by Lender.
Section 500.1246 - Confidentiality; Use of Documents, Materials, or Other Information.