Bill Text: IL HB2752 | 2017-2018 | 100th General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Amends the Criminal Identification Act. Requires that applications for certification, registration, and licensure must contain specific language that states that the applicant is not obligated to disclose sealed or expunged records of conviction or arrest and prohibits entities authorized to grant professional licenses, certifications, and registrations from asking if an applicant has had records expunged or sealed. Provides that certain sealed or impounded felony records shall not be disseminated in connection with an application for a professional or business license, registration, or certification, except specified health care worker licenses. Amends the Illinois Insurance Code. Provides that the Director of Insurance must find that a resident insurance producer or public adjuster applicant has not committed certain acts or has been sufficiently rehabilitated to approve the application. In provisions concerning license denial, nonrenewal, or revocation for conviction of a felony, allows the Director to issue a license with monitoring requirements and provides for an exception if an individual demonstrates to the Director sufficient rehabilitation to warrant the public trust. Provides that the Department of Insurance shall not require applicants to report certain criminal history information and the Department shall not consider the information. Requires the Department to consider certain mitigating factors and evidence of rehabilitation for license applicants. Requires the Department, upon denial of a license, to provide the applicant certain information concerning the denial. Provides that on May 1 of each year, the Department shall prepare, publicly announce, and publish certain statistical information. Effective January 1, 2018.

Spectrum: Moderate Partisan Bill (Democrat 4-1)

Status: (Failed) 2019-01-08 - Session Sine Die [HB2752 Detail]

Download: Illinois-2017-HB2752-Introduced.html


100TH GENERAL ASSEMBLY
State of Illinois
2017 and 2018
HB2752

Introduced , by Rep. Marcus C. Evans, Jr.

SYNOPSIS AS INTRODUCED:
See Index

Amends the Criminal Identification Act. Requires that applications for certification, registration, and licensure must contain specific language that states that the applicant is not obligated to disclose sealed or expunged records of conviction or arrest and prohibits entities authorized to grant professional licenses, certifications, and registrations from asking if an applicant has had records expunged or sealed. Provides that certain sealed or impounded felony records shall not be disseminated in connection with an application for a professional or business license, registration, or certification, except specified health care worker licenses. Amends the Illinois Insurance Code. Provides that the Director of Insurance must find that a resident insurance producer or public adjuster applicant has not committed certain acts or has been sufficiently rehabilitated to approve the application. In provisions concerning license denial, nonrenewal, or revocation for conviction of a felony, allows the Director to issue a license with monitoring requirements and provides for an exception if an individual demonstrates to the Director sufficient rehabilitation to warrant the public trust. Provides that the Department of Insurance shall not require applicants to report certain criminal history information and the Department shall not consider the information. Requires the Department to consider certain mitigating factors and evidence of rehabilitation for license applicants. Requires the Department, upon denial of a license, to provide the applicant certain information concerning the denial. Provides that on May 1 of each year, the Department shall prepare, publicly announce, and publish certain statistical information. Effective January 1, 2018.
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FISCAL NOTE ACT MAY APPLY

A BILL FOR

HB2752LRB100 08572 SMS 18698 b
1 AN ACT concerning regulation.
2 Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4 Section 5. The Criminal Identification Act is amended by
5changing Sections 12 and 13 as follows:
6 20 ILCS 2630/12)
7 Sec. 12. Entry of order; effect of expungement or sealing
8records.
9 (a) Except with respect to law enforcement agencies, the
10Department of Corrections, State's Attorneys, or other
11prosecutors, and as provided in Section 13 of this Act, an
12expunged or sealed record may not be considered by any private
13or public entity in employment matters, certification,
14licensing, revocation of certification or licensure, or
15registration. Applications for employment, certification,
16registration, or licensure must contain specific language
17which states that the applicant is not obligated to disclose
18sealed or expunged records of conviction or arrest. Employers
19and entities authorized to grant professional licenses,
20certifications, or registrations may not ask if an applicant
21has had records expunged or sealed.
22 (b) A person whose records have been sealed or expunged is
23not entitled to remission of any fines, costs, or other money

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1paid as a consequence of the sealing or expungement. This
2amendatory Act of the 93rd General Assembly does not affect the
3right of the victim of a crime to prosecute or defend a civil
4action for damages. Persons engaged in civil litigation
5involving criminal records that have been sealed may petition
6the court to open the records for the limited purpose of using
7them in the course of litigation.
8(Source: P.A. 93-211, eff. 1-1-04; 93-1084, eff. 6-1-05.)
9 (20 ILCS 2630/13)
10 Sec. 13. Retention and release of sealed records.
11 (a) The Department of State Police shall retain records
12sealed under subsection (c) or (e-5) of Section 5.2 or
13impounded under subparagraph (B) or (B-5) of paragraph (9) of
14subsection (d) of Section 5.2 and shall release them only as
15authorized by this Act. Felony records sealed under subsection
16(c) or (e-5) of Section 5.2 or impounded under subparagraph (B)
17or (B-5) of paragraph (9) of subsection (d) of Section 5.2
18shall be used and disseminated by the Department only as
19otherwise specifically required or authorized by a federal or
20State law, rule, or regulation that requires inquiry into and
21release of criminal records, including, but not limited to,
22subsection (A) of Section 3 of this Act, except such records
23shall not be used or disseminated in connection with an
24application for any professional or business licensure,
25registration, or certification not involving a health care

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1worker position as defined in the Health Care Worker
2Self-Referral Act. However, all requests for records that have
3been expunged, sealed, and impounded and the use of those
4records are subject to the provisions of Section 2-103 of the
5Illinois Human Rights Act. Upon conviction for any offense, the
6Department of Corrections shall have access to all sealed
7records of the Department pertaining to that individual.
8 (b) Notwithstanding the foregoing, all sealed or impounded
9records are subject to inspection and use by the court and
10inspection and use by law enforcement agencies and State's
11Attorneys or other prosecutors in carrying out the duties of
12their offices.
13 (c) The sealed or impounded records maintained under
14subsection (a) are exempt from disclosure under the Freedom of
15Information Act.
16 (d) The Department of State Police shall commence the
17sealing of records of felony arrests and felony convictions
18pursuant to the provisions of subsection (c) of Section 5.2 of
19this Act no later than one year from the date that funds have
20been made available for purposes of establishing the
21technologies necessary to implement the changes made by this
22amendatory Act of the 93rd General Assembly.
23(Source: P.A. 97-1026, eff. 1-1-13; 97-1120, eff. 1-1-13;
2498-399, eff. 8-16-13; 98-463, eff. 8-16-13.)
25 Section 10. The Illinois Insurance Code is amended by

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1changing Sections 500-30, 500-70, 1525, and 1555 and by adding
2Sections 500-76 and 1550 as follows:
3 (215 ILCS 5/500-30)
4 (Section scheduled to be repealed on January 1, 2027)
5 Sec. 500-30. Application for license.
6 (a) An individual applying for a resident insurance
7producer license must make application on a form specified by
8the Director and declare under penalty of refusal, suspension,
9or revocation of the license that the statements made in the
10application are true, correct, and complete to the best of the
11individual's knowledge and belief. Before approving the
12application, the Director must find that the individual:
13 (1) is at least 18 years of age;
14 (2) has not committed any act that is a ground for
15 denial, suspension, or revocation set forth in Section
16 500-70 or 500-76 or the individual who committed the act
17 has been sufficiently rehabilitated;
18 (3) has completed, if required by the Director, a
19 pre-licensing course of study before the insurance exam for
20 the lines of authority for which the individual has applied
21 (an individual who successfully completes the Fire and
22 Casualty pre-licensing courses also meets the requirements
23 for Personal Lines-Property and Casualty);
24 (4) has paid the fees set forth in Section 500-135; and
25 (5) has successfully passed the examinations for the

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1 lines of authority for which the person has applied.
2 (b) A pre-licensing course of study for each class of
3insurance for which an insurance producer license is requested
4must be established in accordance with rules prescribed by the
5Director and must consist of the following minimum hours:
6Class of InsuranceNumber of
7Hours
8Life (Class 1 (a))20
9Accident and Health (Class 1(b) or 2(a))20
10Fire (Class 3)20
11Casualty (Class 2)20
12Personal Lines-Property Casualty20
13Motor Vehicle (Class 2(b) or 3(e))12.5
14 7.5 hours of each pre-licensing course must be completed in
15a classroom setting, except Motor Vehicle, which would require
165 hours in a classroom setting.
17 (c) A business entity acting as an insurance producer must
18obtain an insurance producer license. Application must be made
19using the Uniform Business Entity Application. Before
20approving the application, the Director must find that:
21 (1) the business entity has paid the fees set forth in
22 Section 500-135; and
23 (2) the business entity has designated a licensed
24 producer responsible for the business entity's compliance
25 with the insurance laws and rules of this State.
26 (d) The Director may require any documents reasonably

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1necessary to verify the information contained in an
2application.
3(Source: P.A. 96-839, eff. 1-1-10.)
4 (215 ILCS 5/500-70)
5 (Section scheduled to be repealed on January 1, 2027)
6 Sec. 500-70. License denial, nonrenewal, or revocation.
7 (a) The Director may place on probation, suspend, revoke,
8or refuse to issue or renew an insurance producer's license,
9may issue a license with monitoring requirements, or may levy a
10civil penalty in accordance with this Section or take any
11combination of actions, for any one or more of the following
12causes:
13 (1) providing incorrect, misleading, incomplete, or
14 materially untrue information in the license application;
15 (2) violating any insurance laws, or violating any
16 rule, subpoena, or order of the Director or of another
17 state's insurance commissioner;
18 (3) obtaining or attempting to obtain a license through
19 misrepresentation or fraud;
20 (4) improperly withholding, misappropriating or
21 converting any moneys or properties received in the course
22 of doing insurance business;
23 (5) intentionally misrepresenting the terms of an
24 actual or proposed insurance contract or application for
25 insurance;

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1 (6) for licensees, having been convicted of a felony,
2 unless the individual demonstrates to the Director
3 sufficient rehabilitation to warrant the public trust;
4 (7) having admitted or been found to have committed any
5 insurance unfair trade practice or fraud;
6 (8) using fraudulent, coercive, or dishonest
7 practices, or demonstrating incompetence,
8 untrustworthiness or financial irresponsibility in the
9 conduct of business in this State or elsewhere;
10 (9) having an insurance producer license, or its
11 equivalent, denied, suspended, or revoked in any other
12 state, province, district or territory;
13 (10) forging a name to an application for insurance or
14 to a document related to an insurance transaction;
15 (11) improperly using notes or any other reference
16 material to complete an examination for an insurance
17 license;
18 (12) knowingly accepting insurance business from an
19 individual who is not licensed;
20 (13) failing to comply with an administrative or court
21 order imposing a child support obligation;
22 (14) failing to pay state income tax or penalty or
23 interest or comply with any administrative or court order
24 directing payment of state income tax or failed to file a
25 return or to pay any final assessment of any tax due to the
26 Department of Revenue;

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1 (15) failing to make satisfactory repayment to the
2 Illinois Student Assistance Commission for a delinquent or
3 defaulted student loan; or
4 (16) failing to comply with any provision of the
5 Viatical Settlements Act of 2009.
6 (b) If the action by the Director is to nonrenew, suspend,
7or revoke a license or to deny an application for a license,
8the Director shall notify the applicant or licensee and advise,
9in writing, the applicant or licensee of the reason for the
10suspension, revocation, denial or nonrenewal of the
11applicant's or licensee's license. The applicant or licensee
12may make written demand upon the Director within 30 days after
13the date of mailing for a hearing before the Director to
14determine the reasonableness of the Director's action. The
15hearing must be held within not fewer than 20 days nor more
16than 30 days after the mailing of the notice of hearing and
17shall be held pursuant to 50 Ill. Adm. Code 2402.
18 (c) The license of a business entity may be suspended,
19revoked, or refused if the Director finds, after hearing, that
20an individual licensee's violation was known or should have
21been known by one or more of the partners, officers, or
22managers acting on behalf of the partnership, corporation,
23limited liability company, or limited liability partnership
24and the violation was neither reported to the Director nor
25corrective action taken.
26 (d) In addition to or instead of any applicable denial,

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1suspension, or revocation of a license, a person may, after
2hearing, be subject to a civil penalty of up to $10,000 for
3each cause for denial, suspension, or revocation, however, the
4civil penalty may total no more than $100,000.
5 (e) The Director has the authority to enforce the
6provisions of and impose any penalty or remedy authorized by
7this Article against any person who is under investigation for
8or charged with a violation of this Code or rules even if the
9person's license or registration has been surrendered or has
10lapsed by operation of law.
11 (f) Upon the suspension, denial, or revocation of a
12license, the licensee or other person having possession or
13custody of the license shall promptly deliver it to the
14Director in person or by mail. The Director shall publish all
15suspensions, denials, or revocations after the suspensions,
16denials, or revocations become final in a manner designed to
17notify interested insurance companies and other persons.
18 (g) A person whose license is revoked or whose application
19is denied pursuant to this Section is ineligible to apply for
20any license for 3 years after the revocation or denial. A
21person whose license as an insurance producer has been revoked,
22suspended, or denied may not be employed, contracted, or
23engaged in any insurance related capacity during the time the
24revocation, suspension, or denial is in effect.
25(Source: P.A. 96-736, eff. 7-1-10.)

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1 (215 ILCS 5/500-76 new)
2 Sec. 500-76. Applicant convictions.
3 (a) The Director and the Department shall not require
4applicants to report the following information and shall not
5collect and consider the following criminal history records in
6connection with an insurance producer license application:
7 (1) Juvenile adjudications of delinquent minors as
8 defined in Section 5-105 of the Juvenile Court Act of 1987
9 subject to the restrictions set forth in Section 5-130 of
10 that Act.
11 (2) Law enforcement, court, and conviction records of
12 an individual who was 17 years old at the time of the
13 offense and before January 1, 2014, unless the offense
14 required automatic transfer to adult court.
15 (3) Records of arrest not followed by a conviction
16 unless related to the duties and responsibilities of a
17 public adjuster. However, applicants shall not be asked to
18 report any arrests, and an arrest not followed by a
19 conviction shall not be the basis of a denial and may be
20 used only to assess an applicant's rehabilitation.
21 (4) Convictions overturned by a higher court.
22 (5) Convictions or arrests that have been sealed or
23 expunged.
24 (b) When reviewing a conviction of a felony of the
25applicant for the purpose of determining whether to grant a
26license, the Director shall consider any evidence of

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1rehabilitation and mitigating factors contained in the
2applicant's record, including any of the following:
3 (1) the lack of direct relation of the offense for
4 which the applicant was previously convicted to the duties,
5 functions, and responsibilities of the position for which a
6 license is sought;
7 (2) whether 5 years since a felony conviction or 3
8 years since release from confinement for the conviction,
9 whichever is later, have passed without a subsequent
10 conviction;
11 (3) if the applicant was previously licensed or
12 employed in this State or other states or jurisdictions,
13 then the lack of prior misconduct arising from or related
14 to the licensed position or position of employment;
15 (4) the age of the person at the time of the criminal
16 offense;
17 (5) successful completion of sentence and, for
18 applicants serving a term of parole or probation, a
19 progress report provided by the applicant's probation or
20 parole officer that documents the applicant's compliance
21 with conditions of supervision;
22 (6) evidence of the applicant's present fitness and
23 professional character;
24 (7) evidence of rehabilitation or rehabilitative
25 effort during or after incarceration or during or after a
26 term of supervision, including, but not limited to, a

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1 certificate of good conduct under Section 5-5.5-25 of the
2 Unified Code of Corrections or certificate of relief from
3 disabilities under Section 5-5.5-10 of the Unified Code of
4 Corrections; and
5 (8) any other mitigating factors that contribute to the
6 person's potential and current ability to perform the
7 duties and responsibilities of an insurance producer.
8 (c) It is the affirmative obligation of the Director to
9demonstrate that a prior conviction would impair the ability of
10the applicant to engage in the licensed practice. If the
11Director refuses to issue a license to an applicant, then the
12Director shall notify the applicant of the denial in writing
13with the following included in the notice of denial:
14 (1) a statement about the decision to refuse to issue a
15 license;
16 (2) a list of the convictions that were the sole or
17 partial basis for the refusal to issue a license;
18 (3) a list of the mitigating evidence presented by the
19 applicant;
20 (4) reasons for refusing to issue a license specific to
21 the evidence presented in mitigation of conviction items
22 that formed the partial or sole basis for the Director's
23 decision; and
24 (5) a summary of the appeal process or the earliest the
25 applicant may reapply for a license, whichever is
26 applicable.

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1 (d) No later than May 1 of each year, the Director shall
2prepare, publicly announce, and publish a report of summary
3statistical information relating to new and renewal insurance
4producer license applications during the preceding calendar
5year. Each report shall show at minimum:
6 (1) the number of applicants for new or renewal license
7 under this Act within the previous calendar year;
8 (2) the number of applicants for new or renewal license
9 under this Act within the previous calendar year who had
10 any criminal conviction;
11 (3) the number of applicants for new or renewal license
12 under this Act in the previous calendar year who were
13 granted a license;
14 (4) the number of applicants for new or renewal license
15 with a criminal conviction who were granted a license under
16 this Act within the previous calendar year;
17 (5) the number of applicants for new or renewal license
18 under this Act within the previous calendar year who were
19 denied a license;
20 (6) the number of applicants for new or renewal license
21 with a criminal conviction who were denied a license under
22 this Act in the previous calendar year in whole or in part
23 because of a prior conviction;
24 (7) the number of licenses without monitoring
25 requirements issued under this Act in the previous calendar
26 year to applicants with a felony conviction; and

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1 (8) the number of probationary licenses with
2 monitoring issued under this Act in the previous calendar
3 year to applicants with a felony conviction.
4 (215 ILCS 5/1525)
5 Sec. 1525. Resident license.
6 (a) Before issuing a public adjuster license to an
7applicant under this Section, the Director shall find that the
8applicant:
9 (1) is eligible to designate this State as his or her
10 home state or is a nonresident who is not eligible for a
11 license under Section 1540;
12 (2) is sufficiently rehabilitated in cases in which the
13 applicant has not committed any act that is a ground for
14 denial, suspension, or revocation of a license as set forth
15 in Section 1555;
16 (3) is trustworthy, reliable, competent, and of good
17 reputation, evidence of which may be determined by the
18 Director;
19 (4) is financially responsible to exercise the license
20 and has provided proof of financial responsibility as
21 required in Section 1560 of this Article; and
22 (5) maintains an office in the home state of residence
23 with public access by reasonable appointment or regular
24 business hours. This includes a designated office within a
25 home state of residence.

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1 (b) In addition to satisfying the requirements of
2subsection (a) of this Section, an individual shall:
3 (1) be at least 18 years of age;
4 (2) have successfully passed the public adjuster
5 examination;
6 (3) designate a licensed individual public adjuster
7 responsible for the business entity's compliance with the
8 insurance laws, rules, and regulations of this State; and
9 (4) designate only licensed individual public
10 adjusters to exercise the business entity's license.
11 (c) The Director may require any documents reasonably
12necessary to verify the information contained in the
13application.
14(Source: P.A. 96-1332, eff. 1-1-11.)
15 (215 ILCS 5/1550 new)
16 Sec. 1550. Applicant convictions.
17 (a) The Director and the Department shall not require
18applicants to report the following information and shall not
19collect or consider the following criminal history records in
20connection with a public adjuster license application:
21 (1) Juvenile adjudications of delinquent minors as
22 defined in Section 5-105 of the Juvenile Court Act of 1987
23 subject to the restrictions set forth in Section 5-130 of
24 that Act.
25 (2) Law enforcement, court, and conviction records of

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1 an individual who was 17 years old at the time of the
2 offense and before January 1, 2014, unless the offense
3 required automatic transfer to adult court.
4 (3) Records of arrest not followed by a conviction
5 unless related to the duties and responsibilities of a
6 public adjuster. However, applicants shall not be asked to
7 report any arrests, and an arrest not followed by a
8 conviction shall not be the basis of a denial and may be
9 used only to assess an applicant's rehabilitation.
10 (4) Convictions overturned by a higher court.
11 (5) Convictions or arrests that have been sealed or
12 expunged.
13 (b) When reviewing a conviction of any misdemeanor directly
14related to the practice of the profession or of any felony of
15the applicant for the purpose of determining whether to grant a
16license, the Director shall consider any evidence of
17rehabilitation and mitigating factors contained in the
18applicant's record, including any of the following:
19 (1) the lack of direct relation of the offense for
20 which the applicant was previously convicted to the duties,
21 functions, and responsibilities of the position for which a
22 license is sought;
23 (2) the amount of time that has elapsed since the
24 offense occurred;
25 (3) if the applicant was previously licensed or
26 employed in this State or other states or jurisdictions,

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1 then the lack of prior misconduct arising from or related
2 to the licensed position or position of employment;
3 (4) whether 5 years since a felony conviction or 3
4 years since release from confinement for the conviction,
5 whichever is later, have passed without a subsequent
6 conviction;
7 (5) successful completion of sentence and, for
8 applicants serving a term of parole or probation, a
9 progress report provided by the applicant's probation or
10 parole officer that documents the applicant's compliance
11 with conditions of supervision;
12 (6) evidence of the applicant's present fitness and
13 professional character;
14 (7) evidence of rehabilitation or rehabilitative
15 effort during or after incarceration or during or after a
16 term of supervision, including, but not limited to, a
17 certificate of good conduct under Section 5-5.5-25 of the
18 Unified Code of Corrections or certificate of relief from
19 disabilities under Section 5-5.5-10 of the Unified Code of
20 Corrections; and
21 (8) any other mitigating factors that contribute to the
22 person's potential and current ability to perform the
23 duties and responsibilities of a public adjuster.
24 (c) It is the affirmative obligation of the Director to
25demonstrate that a prior conviction would impair the ability of
26the applicant to engage in the licensed practice. If the

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1Director refuses to issue a license to an applicant, then the
2Director shall notify the applicant of the denial in writing
3with the following included in the notice of denial order:
4 (1) a statement about the decision to refuse to issue a
5 license;
6 (2) a list of the convictions that were the sole or
7 partial basis for the refusal to issue a license;
8 (3) a list of the mitigating evidence presented by the
9 applicant;
10 (4) reasons for refusing to issue a license specific to
11 the evidence presented in mitigation of conviction items
12 that formed the partial or sole basis for the Director's
13 decision; and
14 (5) a summary of the appeal process or the earliest the
15 applicant may reapply for a license, whichever is
16 applicable.
17 (d) No later than May 1 of each year, the Director shall
18prepare, publicly announce, and publish a report of summary
19statistical information relating to new and renewal public
20adjuster license applications during the preceding calendar
21year. Each report shall show at minimum:
22 (1) the number of applicants for new or renewal license
23 under this Act within the previous calendar year;
24 (2) the number of applicants for new or renewal license
25 under this Act within the previous calendar year who had
26 any criminal conviction;

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1 (3) the number of applicants for new or renewal license
2 under this Act in the previous calendar year who were
3 granted a license;
4 (4) the number of applicants for new or renewal license
5 with a criminal conviction who were granted a license under
6 this Act within the previous calendar year;
7 (5) the number of applicants for new or renewal license
8 under this Act within the previous calendar year who were
9 denied a license;
10 (6) the number of applicants with a criminal conviction
11 who were denied a new or renewal license under this Act in
12 the previous calendar year in whole or in part because of a
13 prior conviction;
14 (7) the number of licenses without monitoring
15 requirements issued under this Act in the previous calendar
16 year to applicants with convictions; and
17 (8) the number of licenses with monitoring issued under
18 this Act in the previous calendar year to applicants with
19 criminal conviction.
20 (215 ILCS 5/1555)
21 Sec. 1555. License denial, nonrenewal, or revocation.
22 (a) The Director may place on probation, suspend, revoke,
23deny, or refuse to issue or renew a public adjuster's license
24or may levy a civil penalty or issue a license with monitoring
25requirements or any combination of actions, for any one or more

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1of the following causes:
2 (1) providing incorrect, misleading, incomplete, or
3 materially untrue information in the license application;
4 (2) violating any insurance laws, or violating any
5 regulation, subpoena, or order of the Director or of
6 another state's Director;
7 (3) obtaining or attempting to obtain a license through
8 misrepresentation or fraud;
9 (4) improperly withholding, misappropriating, or
10 converting any monies or properties received in the course
11 of doing insurance business;
12 (5) intentionally misrepresenting the terms of an
13 actual or proposed insurance contract or application for
14 insurance;
15 (6) for licensees, having been convicted of a felony or
16 misdemeanor involving dishonesty or fraud, unless the
17 individual demonstrates to the Director sufficient
18 rehabilitation to warrant the public trust;
19 (7) having admitted or been found to have committed any
20 insurance unfair trade practice or insurance fraud;
21 (8) using fraudulent, coercive, or dishonest
22 practices; or demonstrating incompetence,
23 untrustworthiness, or financial irresponsibility in the
24 conduct of business in this State or elsewhere;
25 (9) having an insurance license or public adjuster
26 license or its equivalent, denied, suspended, or revoked in

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1 any other state, province, district, or territory;
2 (10) forging another's name to an application for
3 insurance or to any document related to an insurance
4 transaction;
5 (11) cheating, including improperly using notes or any
6 other reference material, to complete an examination for an
7 insurance license or public adjuster license;
8 (12) knowingly accepting insurance business from or
9 transacting business with an individual who is not licensed
10 but who is required to be licensed by the Director;
11 (13) failing to comply with an administrative or court
12 order imposing a child support obligation;
13 (14) failing to pay State income tax or comply with any
14 administrative or court order directing payment of State
15 income tax;
16 (15) failing to comply with or having violated any of
17 the standards set forth in Section 1590 of this Law; or
18 (16) failing to maintain the records required by
19 Section 1585 of this Law.
20 (b) If the action by the Director is to nonrenew, suspend,
21or revoke a license or to deny an application for a license,
22the Director shall notify the applicant or licensee and advise,
23in writing, the applicant or licensee of the reason for the
24suspension, revocation, denial, or nonrenewal of the
25applicant's or licensee's license. The applicant or licensee
26may make written demand upon the Director within 30 days after

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1the date of mailing for a hearing before the Director to
2determine the reasonableness of the Director's action. The
3hearing must be held within not fewer than 20 days nor more
4than 30 days after the mailing of the notice of hearing and
5shall be held pursuant to 50 Ill. Adm. Code 2402.
6 (c) The license of a business entity may be suspended,
7revoked, or refused if the Director finds, after hearing, that
8an individual licensee's violation was known or should have
9been known by one or more of the partners, officers, or
10managers acting on behalf of the business entity and the
11violation was neither reported to the Director, nor corrective
12action taken.
13 (d) In addition to or in lieu of any applicable denial,
14suspension or revocation of a license, a person may, after
15hearing, be subject to a civil penalty. In addition to or
16instead of any applicable denial, suspension, or revocation of
17a license, a person may, after hearing, be subject to a civil
18penalty of up to $10,000 for each cause for denial, suspension,
19or revocation, however, the civil penalty may total no more
20than $100,000.
21 (e) The Director shall retain the authority to enforce the
22provisions of and impose any penalty or remedy authorized by
23this Article against any person who is under investigation for
24or charged with a violation of this Article even if the
25person's license or registration has been surrendered or has
26lapsed by operation of law.

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1 (f) Any individual whose public adjuster's license is
2revoked or whose application is denied pursuant to this Section
3shall be ineligible to apply for a public adjuster's license
4for 5 years. A suspension pursuant to this Section may be for
5any period of time up to 5 years.
6(Source: P.A. 96-1332, eff. 1-1-11.)
7 Section 99. Effective date. This Act takes effect January
81, 2018.

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1 INDEX
2 Statutes amended in order of appearance