News Release Detail | Washington State Office of the Insurance

News Release
Mike KreidlerWashington Insurance CommissionerWeb page: www.insurance.wa.gov

For More Information, Contact:Public Affairs: (360) 725-7055Office of Insurance Commissioner

5/12/2006
Symetra fined by Insurance Commissioner
OLYMPIA, Wash. — Insurance Commissioner Mike Kreidler has fined a Seattle life insurer and its affiliated companies $50,000 for multiple violations of state law related to the marketing, selling and processing of life insurance policies and claims in 2002 and 2003.
The fine against Symetra Life Insurance Company, Symetra National Life Insurance Company and American States Life Insurance Company stems from a market conduct exam of the companies performed by the Office of the Insurance Commissioner. Symetra agreed to a consent order in the matter. Under terms of the order, $25,000 was suspended for two years on several conditions, including implementation of a compliance plan.
“Making sure that insurers fulfill their obligations to policyholders is a critical part of the Insurance Commissioner’s consumer protection mission,” Kreidler said. “And it is a commitment that I take seriously.”
In other enforcement actions, the Insurance Commissioner:
Issued a cease-and-desist order against Mortgage Protection Services, Lead Systems Inc., and Alvin Y. Yip, all of California, to stop soliciting and transacting unauthorized insurance business in Washington. The named principals are not authorized as insurers or licensed as agents or brokers in violation of the state’s insurance code.
Levied a $500 fine against James T. Shelnut, an independent agent in Augusta, GA, for failure to provide requested information for licensing purposes.
Revoked the license of Gary A. Wyche, an independent agent in Vancouver, Wash., for failing to remit premium payments, secure a consumer policy and maintain separate accounts. The revocation has been appealed.
Fined American Maturity Life Insurance Co., of Simsbury, Conn., $3,400 for failing to file an annual statement in a timely manner. Levied a $2,700 fine against Combined Insurance Company of America, Glenview, Ill. for failing to file an annual report in a timely manner.
Fined Habitat for Humanity International, Inc., of Americus, Ga., $3,625 for issuing annuities before receiving a certificate of exemption.
Suspended a certificate of authority for Houston General Insurance Co., of Dallas, Texas, for failure to file required documentation.
The agency also fined the following companies for failing to file specified information and documentation as required:
ACA Financial Guaranty Corp., New York, N.Y. ($20,000)
Acstar Insurance Co., New Britain, Conn. ($5,700)
Aetna Health, Inc., Walnut Creek, Calif. ($5,000)
American National General Insurance Co., Springfield, Mo. ($2,400)
American General Indemnity Co., Shaumburg, Ill. ($5,100)
American Reliable Insurance Co., Boston, Mass. ($8,000)
American Republic Insurance Co., Des Moines, Iowa ($2,000)
Amica Life Insurance Co., of Lincoln, R.I. ($2,600)
Anthem Life Insurance Co., of Indianapolis, Ind. ($3,100)
Assurity Life Insurance Co., Fort Worth, Texas ($3,000)
Atlanta International Insurance Co., Suwanee, Ga. ($5,700)
Bankers Life Insurance Co., of St. Petersburg, Fla. ($3,400)
Bankers Multiple Line Insurance Co., Irvine, Texas ($10,000)
Century Reinsurance Co., of Philadelphia, Pa. (suspended certificate of authority)
Cincinnati Casualty Co., Cincinnati, Ohio ($10,000)
Cincinnati Indemnity Co., Cincinnati, Ohio ($10,000)
Cincinnati Insurance Co., Cincinnati, Ohio ($10,000)
Courtesy Insurance Co., Deerfield Beach, Fla. ($3,800)
CSE Safeguard Insurance Co., San Francisco, Calif. ($6,300)
Fairmont Insurance Co., Martinez, Calif. ($2,800)
Farmers Insurance Exchange, Los Angeles, Calif. ($1,800)
Federal Home Life Insurance Co., Richmond, Va. ($6,000)
Fidelity National Insurance Co., Jacksonville, Fla. ($7,400)
Five Star Life Insurance Co., Alexandria, Va. ($7,200)
Foremost Insurance Co., Caledonia, Mich. ($2,700)
Foremost Property & Casualty Insurance Co., Caledonia, Mich. ($2,700)
Foremost Signature Insurance Co., Caledonia, Mich. ($2,700)
Gerber Life Insurance Co., White Plains, N.Y. ($7,100)
Hart Life Insurance Co., Simsbury, Conn. ($3,400)
Hartford International Life Reassurance Corp., Hartford, Conn. ($3,400)
Hartford Life Group Insurance Co., Chicago, Ill. ($3,400)
Hartford Steam Boiler Inspection & Insurance Company of Connecticut, ($6,300)
Kaiser Foundation Health Plan of the Northwest, Portland, Ore. ($6,300)
Kaiser Permanente Health Alternatives, Portland, Ore. ($6,300)
Kemper Investors Life Insurance Co., Schaumburg, Ill. ($1,000)
Kanawha Insurance Co., Lancaster, S.C. ($10,000)
Lincoln General Insurance Co., York, Pa. ($5,900)
Madison National Life Insurance Co., Inc., Madison, Wis. ($6,500)
Medical Savings Insurance Co., Oklahoma City, Okla. ($2,700)
Mercury Casualty Co., Los Angeles, Calif. ($3,400)
Metlife Investors USA Insurance Co., Tampa, Fla. ($10,000)
MGIC Assurance Corp., Milwaukee, Wis. ($2,800)
MGIC Indemnity Co., Milwaukee, Wis. ($2,800)
Mid-Century Insurance Co., Los Angeles, Calif. ($1,800)
Midwest Security Life Insurance Co., Onalaska, Wis. ($3,100)
Mortgage Guaranty Insurance Corp., Milwaukee, Wis. ($2,800)
National Benefit Life Insurance Co., New York, N.Y. ($1,000)
National Financial Insurance Co., Fort Worth, Texas ($3,000)
Nutmeg Life Insurance Co., Bettendorf, Iowa ($3,400)
Old Republic Insurance Co., Greensburg, Pa. ($3,300)
Petroleum Casualty Co., Houston, Texas (6,400)
Princeton Insurance Co., Princeton, N.J. ($3,200)
Reserve National Insurance Co., Oklahoma City, Okla ($3,200)
Rural Community Insurance Co., Anoka, Minn. ($6,000)
Security National Insurance Co., Dallas, Texas ($7,100)
Sequoia Insurance Co., Monterey, Calif. ($3,100)
Sterling Life Insurance Co., Glenview, Ill. ($2,700)
Trinity Universal Insurance Company of Kansas, Dallas, Texas ($7,100)
Truck Insurance Exchange, Los Angeles, Calif. ($1,800)
Umialik Insurance Co., Anchorage, Alaska ($6,300)
Vanliner Insurance Co., St. Louis, Mo. ($6,300)
Washington National Insurance Co., Chicago, Ill. ($6,000)
World Insurance Co., Omaha, Neb. ($1,000)
Penalties and fines collected by the Insurance Commissioner are deposited in the state General Fund where they are used to fund programs for Washington residents. A total of $1,068,033 in enforcement fines were collected in 2005.
Consumers who have problems with an insurance claim or coverage or simply need an answer to an insurance-related question can call the agency’s Insurance Consumer Hotline at 1-800-562-6900 to talk to an insurance professional. The agency provides consultation, advocacy and related services to Washington’s insurance-consuming public.