ALJDEC decisions subject to certification as final

18A-010-INS · Department of Insurance · 2018-05-08

IN THE OFFICE OF ADMINISTRATIVE HEARINGS

In the Matter of:

Pribble, Sue Ellen

(National Producer Number 18354238)

(Legacy License ID Number 1176745)

Respondent.

No. 18A-010-INS

ADMINISTRATIVE LAW JUDGE DECISION

HEARING: May 8, 2018, at 1:00 p.m.

APPEARANCES: The Arizona Department of Insurance (“the Department”) was represented by Lynette Evans, Esq., Assistant Attorney General; Sue Ellen Pribble (“Respondent”) failed to appear.

ADMINISTRATIVE LAW JUDGE: Diane Mihalsky

_____________________________________________________________________

FINDINGS OF FACT

The Department referred this matter to the Office of Administrative Hearings (“OAH”), an independent state agency, for an evidentiary hearing on its intent to revoke Respondent’s insurance producer’s license.

On March 26, 2018, the Department issued a Notice of Hearing, setting a hearing on May 8, 2018, at 1:00 p.m. The Department sent a copy of the Notice of Hearing to Respondent at her address of record by regular and certified mail, as well as to her email address.

A hearing was held on May 8, 2018. The Department presented the testimony of Aqueelah Currie, its Licensing Supervisor, and submitted four exhibits.

Respondent did not request to appear telephonically and did not request that the hearing be continued. Although the start of the duly noticed hearing was delayed sixteen minutes to allow Respondent additional travel time, she did not appear, personally or through an attorney, and did not contact OAH to request that the start of the hearing be further delayed. Consequently, Respondent did not present any evidence to defend her insurance producer’s license.

/ / / /

Evidence Submitted at the Hearing

On or about March 16, 2017, Respondent submitted an application for an insurance producer’s license to the Department. The application requires all applicants to submit fingerprints with the application. The Department provides the fingerprints to the Arizona Department of Public Safety (“DPS”) for a criminal background check.

Ms. Currie testified that because DPS must contact other federal and state agencies to find out if a person’s fingerprints show a criminal history, it takes the Department from 30 days to nine months to complete the background investigation. In the meantime, the Department issues the licenses to applicants who are otherwise qualified.

On or about March 16, 2017, the Department issued Respondent insurance a life producer license, which is due to expire on March 31, 2021.

Subsequently, DPS informed the Department that because Respondent’s fingerprints were illegible, it could not perform a background check.

On May 9, 2017, the Department sent a letter to Respondent at the address on her license application, informing her that her fingerprints were illegible and requesting her to provide a replacement set of fingerprints on or before May 31, 2017. Ms. Currie testified that Respondent did not respond to the Department’s May 9, 2017 letter.

On November 1, 2017, the Department sent another letter to Respondent at the address on her license application, informing her that her fingerprints were illegible and requesting her to provide a replacement set of fingerprints on or before November 30, 2017, or to submit a Voluntary Surrender of Insurance License Form. Ms. Currie testified that Respondent did not respond to the Department’s November 1, 2017 letter. Ms. Currie testified that to her knowledge, Respondent has not contacted the Department since it issued her insurance producer’s license.

CONCLUSIONS OF LAW

This matter lies with the Department’s jurisdiction.

The Notice of Hearing that the Department mailed to Respondent at her address of record was reasonable and she is deemed to have received notice of the hearing.

The Department bears the burden of proof to establish cause to discipline Respondent’s insurance producer’s license by a preponderance of the evidence. “A preponderance of the evidence is such proof as convinces the trier of fact that the contention is more probably true than not.”

A.R.S. § 20-285(E)(2) provides as follows:

E. Before the director grants a license, the director may require the applicant to:

. . . .

2. Submit a full set of fingerprints to the department. The department of insurance shall submit the fingerprints to the department of public safety for the purpose of obtaining a state and federal criminal records check pursuant to section 41-1750 and Public Law 92-544. The department of public safety may exchange this fingerprint data with the federal bureau of investigation.

Pursuant to this statute, the Department required Respondent to submit her fingerprints with the license application. However, DPS informed the Department that Respondent’s fingerprints were illegible.

A.R.S. § 20-295(A)(1) and (2) provide as follows:

A. The director may deny, suspend for not more than twelve months, revoke or refuse to renew an insurance producer's license or may impose a civil penalty in accordance with subsection F of this section or any combination of actions for any one or more of the following causes:

1. Providing incorrect, misleading, incomplete or materially untrue information in the license application.

2. Violating any provision of this title or any rule, subpoena or order of the director.

Respondent’s failure to submit legible fingerprints and failures to respond to the Department’s May 9, 2017 and November 1, 2017 letters provide cause to revoke her insurance producer’s license under A.R.S. § 20-295(A)(1) and (2). Respondent’s failures to respond to the letters or to appear for the duly noticed hearing indicate that, at this time, she cannot be regulated.

RECOMMENDED DECISION

Based upon the foregoing, it is ordered that on the effective date of the final order in this matter, Respondent Sue Ellen Pribble’s insurance producer’s license, National Producer Number 18354238 and Legacy License ID Number 1176745, shall be revoked.

In the event of certification of the Administrative Law Judge Decision by the Director of the Office of Administrative Hearings, the effective date of the Order will be five (5) days from the date of that certification.

Done this day, May 8, 2018

/s/ Diane Mihalsky

Administrative Law Judge

Transmitted electronically to:

Leslie R. Hess, Interim Director

Arizona Department of Insurance