What must occur before the Commissioner of Insurance can suspend or revoke a producer's license?

The correct answer is based on the regulatory process in which the Commissioner of Insurance operates. Before taking the significant action of suspending or revoking a producer's license, it is required by law that a hearing be conducted. This ensures that the producer is given a fair opportunity to present their case and respond to any allegations or evidence brought against them. The hearing provides a structured environment for due process, wherein the Commissioner can evaluate the circumstances thoroughly and issue an order based on the findings.

This process is crucial to maintaining fairness and transparency in regulatory practices. If the proceedings were to occur without such a hearing, it would undermine the producer's legal rights and the integrity of the insurance regulatory framework. Thus, the requirement for a hearing and the subsequent issuance of an order are foundational steps before any suspension or revocation can take place.

The other choices, while possibly related to regulatory procedures, do not hold the same legal weight in the context of license suspension or revocation. A written notification, fines, or approval from a state board are not necessary prerequisites for this specific action by the Commissioner.