Wednesday, May 2, 2012

Insurance agent's license revoked: Submitted dozens of bogus life insurance applications

Insurance Commissioner Mike Kreidler has revoked the license of a Renton insurance agent who submitted dozens of bogus life insurance policies, apparently to collect the commissions.

Angela M. Scott, a former agent for Primerica Life Insurance Co., lost her license, effective April 9.

"By using fraudulent and dishonest practices and demonstrating incompetence, untrustworthiness and financial irresponsibility, Ms. Scott violated" state insurance law, says Kreidler's order.

From June 1, 2010 to May 2011, Scott submitted 88 term life insurance policies to the insurer. The premiums were to be paid through automatic withdrawals from the applicants' bank accounts.

But of the 88 applications submitted, 76 had invalid bank account numbers. Some 67 had invalid social security numbers. And 52 listed phone numbers that didn't work. When the banks didn't pay the premiums because of the incorrect account numbers, Scott submitted 60 money orders for policies' first payments.

An investigator for Kreidler's office reviewed 15 of the policies and could find no driver's licenses or other information indicating that the applicants were in fact real people. Nor could he find any trace of three people whom Scott claimed had introduced her to those applicants.

Scott has the right to demand a hearing to contest the revocation.