Seeking answers for a possible new agent with felony

[Nicolacrayola]

Hey guys so I have an agent in South Carolina that is doing fantastic and wants to bring his brother on board. Problem is his brother is currently 46 and was convicted at age 22 in 1998 of felony grand larceny breaking into cars and stealing radios. He did five years, and has never been in trouble in 24 years. Like our man doesn't even have traffic tickets. He made a dumb mistake as a kid and suffered terribly for it but I can't seem to get any straight answers except for that it would be the best to get it expunged but I don't really know if South Carolina is even really going to allow that. I spoke with the Department of insurance in South Carolina and all they said is that an expungement would be best but if that was not possible there was still a possibility and that he would have to do a 1033 form and then go before a panel. That being said I do not know if that would get him contracted with the carriers or into my IMO. Can someone please advise? I hate to put him through all the trouble of getting licensed if the carriers are just going to block him. I've been trying to reach someone at the IMO about it as well but they tend to be pretty opaque about stuff like that. I do know that they allowed my previous upline was allowed in with a prior misdemeanor larceny conviction and the guy above him has multiple DUIs but my understanding is that someone had to sign off on them claiming responsibility in case something went wrong

 

[DHK]

In cases like these, the securities industry provides a good guide to follow. While for securities, all felonies must be disclosed, it's only the past 10 years that really become problematic for contracting and getting registered with broker/dealers.

The "10 year rule" or guideline, I believe, works for all lines of insurance as well.

If his record is exactly as you said, he may need to continuously disclose, but I don't see any potential issues.

 

[Baseball7]

Find a IMO with strong carrier relationships that can manage back channels in this type of situation.

 

[Real_AMG]

As has been said, most carriers will overlook if not within the last 10 years and not financial industry related. Most important is to make sure he discloses everything.

 

[Mike Siegal]

In NYC and LA, those crimes committed today wouldn't even be arrested for !
(bunch of BS).

Breaking into cars...and got 5 yrs!!!
???
(did he murder someone while running with CD's in his hand)

OK...me thinks even if he goes before the board, they can't turn him down.
1- Crimes un-related to public trust (white collar crime)
2- over 10 yrs has passed

I think the 10 yr rule also applies to getting E/O insurance...if he's insurable, he's Fine


.

 

[Life Hawk]

.if he's insurable, he's Fine

... I have a lot of clients who fit the insurable part, but being fine would be rather questionable.

 

[bill3173]

In NYC and LA, those crimes committed today wouldn't even be arrested for !
(bunch of BS).

Breaking into cars...and got 5 yrs!!!
???
(did he murder someone while running with CD's in his hand)

.

Uh, in certain areas of SC, you don't really have to do a lot to get into a lot of trouble.

 

[Mike Siegal]

... I have a lot of clients who fit the insurable part, but being fine would be rather questionable.

'Fine' is an expression used by many to express the term 'passable.' In this case all he needs is E n O and he's passable to write policies.

Truth be told most of your clients wouldn't be able to pass a background check for employment at Burger King.

 

[Life Hawk]

Truth be told most of your clients wouldn't be able to pass a background check for employment at Burger King.

Oh so true.