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Florida Insurance Company Facing Charges

insFraudAgainA Florida-based insurance agency is facing potential charges after allegedly submitting fake insurance applications and stealing over $200,000 in insurance premiums. An investigation spearheaded by the Department of Financial Services, Bureau of Insurance Fraud revealed a detailed scam where the agency’s owner/agent used a finance company to pay yearly premiums related to applications that were fake. More than thirty of these applications were submitted.

The majority of commercial and residential insurance policyholders must pay their annual premiums upfront. Insurance agencies join forces with finance companies to take care of the cost of these premiums, allowing policyholders to make monthly payments to the finance company if they are unable to pay the full amount upfront.

For six months, the agent submitted over thirty applications for financing using fake consumer information. The unaware finance company gave the applications the okay and issued annual premium payments to the agent’s company. The company’s suspicions were raised when none of the fake policyholders came forward to make the monthly payments.

This information is provided by Miami insurance attorney Alonso & Perez, LLP. Our areas of practice include bankruptcy, insurance litigation, foreclosure defense, immigration law, and more. Call 305-676-7545 to speak with one of our attorneys and receive a free consultation We look forward to working with you.

This information is provided for educational or informational purposes only and should not be construed as legal advice. The information is not provided in the course of an attorney-client relationship and is not intended to substitute for legal advice.