Who receives notification regarding a licensee's conviction for any crime (excluding motor vehicle infractions)?

• A. North Carolina Department of Labor
• B. North Carolina Department of Insurance
• C. Federal Department of Labor
• D. Local County Clerk

Answer: (B)

In North Carolina, the regulator that oversees insurance licenses is the Department of Insurance. When a licensee is convicted of a crime (other than a motor vehicle infraction), this information must be reported to the Department of Insurance so they can assess the licensee’s fitness to practice and determine appropriate disciplinary action if needed. This oversight helps protect the public and maintain integrity in the insurance market.

The other entities don’t regulate or discipline insurance licenses: the Department of Labor isn’t responsible for insurance licensure; a Local County Clerk maintains records but doesn’t handle disciplinary actions for licensees; and the Federal Department of Labor has no authority over state-licensed insurance professionals.