State RegulationsFL specificDifficulty 3/5
A Florida agent has gone 48 consecutive months without being appointed by any insurer and then submits a life application for a client. What is the agent's status?
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Answer & full 3-part explanation (select an option above, or peek)
Why B is correct
Under the Florida Department of Financial Services' administration of Chapter 626, Florida Statutes, a license is perpetual, with no renewal application or fee, but it is maintained by continuing education compliance and an active appointment, and 48 consecutive months without an appointment causes the license to lapse. Submitting business after that point is transacting insurance with a lapsed license.
Why the other options are wrong
- A) Perpetual does not mean unconditional: the license continues only while CE and appointment requirements are met.
- C) A temporary license is a separate limited credential tied to an agent's death, disability, or military service, not an automatic conversion.
- D) Adjusting claims is a different function requiring its own license; it does not validate the sale of life insurance.
Memory hook
Perpetual license, but 48 months without an appointment kills it.