What offense is committed by a person who transacts insurance without a license?

Transacting insurance without a proper license is classified as a misdemeanor. This classification is based on the regulatory framework governing the insurance industry, which aims to protect consumers and ensure that only qualified individuals are allowed to sell insurance products.

A misdemeanor typically involves offenses that are less severe than felonies, although they can still result in penalties such as fines, community service, or a short jail term. The laws surrounding the requirement for licensure in the insurance industry are established to uphold standards of professionalism and accountability. Operating without a license undermines these standards and poses risks to consumers who rely on knowledgeable professionals to provide insurance services.

Understanding this classification is important for individuals interested in pursuing a career in insurance, as it underscores the necessity of obtaining the appropriate licenses before engaging in insurance activities.