State RegulationsFL specificDifficulty 2/5
An unaffiliated insurer terminates a Florida agent's appointment, but the agent holds appointments from several other insurers. What is the effect?
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Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
Under Chapter 626, Florida Statutes, an appointment is a separate relationship between an agent and each insurer: terminating one appointment does not end the others or automatically revoke the license. The Department of Financial Services is notified of terminations, and the license is maintained through continuing education and at least one active appointment, since 48 consecutive months without any appointment causes it to lapse.
Why the other options are wrong
- B) Appointments operate independently; one insurer's termination leaves the others untouched.
- C) A single appointment termination does not revoke the license; discipline requires process, and lapse takes years without any appointment.
- D) No cooling-off period bars the agent from selling; the remaining appointments remain valid.
Memory hook
One appointment dies, the rest live on.