Monday, May 7, 2012

Prestige Administration ordered to stop selling insurance products in WA

An Arizona company that has sold at least 82 vehicle service contracts illegally in Washington state has been ordered to stop.

Our office has issued a cease-and-desist order against Phoenix-based Prestige Administration Inc.

Our legal affairs investigators found that the company issued at least 82 motor vehicle service contracts or similar products to Washington consumers. (Under Washington law, these contracts are considered a form of insurance.)

The problem is that the company is not authorized to conduct insurance transactions here in Washington. Nor have they registered with our office as a service contract provider.

Here's a key part for consumers who bought those contracts: Nothing in our order prevents the company from fullfilling the terms of the existing contracts.

The company has the right to demand a hearing.