NDINS News Releases

Hamm: Chief Boiler Inspector Reetz named national safety award winner

Mon, 13 May 2013 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm announced today that Bob Reetz, the Department’s chief boiler inspector, has been awarded the prestigious Safety Medal Award by the National Board of Boiler and Pressure Vessel Inspectors. The Safety Medal Award is the highest honor bestowed by the National Board.

The award recognizes Reetz’s contributions in the field of boiler and pressure vessel safety by enforcement of codes, laws and regulations for the safe construction, installation and repairs of boilers and pressure vessels. The nomination was approved unanimously by the board of trustees in February.

“This award acknowledges Bob’s hard work, along with the work done by our entire Boiler Inspection Program staff,” Hamm said.

Reetz has served as the state’s chief boiler inspector for 35 years, first with Workforce Safety and Insurance and then with the Insurance Department when the program was transferred.

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Hamm: Know your flood risk

Fri, 15 Mar 2013 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm today encouraged homeowners and business owners to educate themselves about flood risks and flood insurance.

Property owners should be aware of their flood risk. Floodplain maps can be found at www.msc.fema.gov. Enter your address in the box on the left side of the screen. Floodplain Zone A has the highest risk for flooding; however, 25 percent of all flood insurance claims are paid out to policyholders in lower-risk zones.

“I encourage everyone to learn about the risks of living in a flood plain and how they can protect their property,” Hamm said. “Property owners in high risk areas may want to consider purchasing flood insurance.”

Flood insurance is offered and underwritten by the National Flood Insurance Program (NFIP). Several insurance companies in North Dakota write and service flood policies through the NFIP. Flood insurance policies kick in 30 days after purchase.

“Traditional homeowners’ insurance policies do not cover flooding or sewer back up,” Hamm added. “Consumers should talk to their insurance agent about their policy’s limits and what other coverage can be purchased separately.”

For more information, contact your insurance agent or the NFIP at 1.800.638.6620 or www.floodsmart.gov. Consumers are also welcome to call the North Dakota Insurance Department at 1.800.247.0560 or visit www.nd.gov/ndins.

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Hamm reports $4.3 million recovered in 2012 for North Dakota consumers

Wed, 27 Feb 2013 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm released a report today that shows more than $4.3 million was recovered or saved for North Dakota citizens in 2012.

This number represents money recovered on behalf of North Dakotans through the Insurance Department’s hotline, through complaints filed by consumers against insurance companies and agents, and through investigations performed by the Department. It also includes benefits received through the Department’s Prescription Connection (PC) and State Health Insurance Counseling (SHIC) programs.

“Department staff work very hard to help North Dakota’s consumers sort out claims denials, complaints and other issues,” Hamm said. “As always, consumer protection remains one of our top priorities.”

In 2012, the Department received 94 fraud referrals, totaling $714,104 in actual losses. The Department hotline handled 8,289 phone calls, helped 119 walk-in clients and processed 205 formal complaints. The Department also handled 11,732 SHIC and PC contacts.

The complete 2012 Consumer Assistance, Enforcement Action and Fraud Report can be found at www.nd.gov/ndins. Consumers are encouraged to contact the North Dakota Insurance Department at 1-800-247-0560 with questions.

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Insurance Department launching campaign on exclusive Native American TV network

Fri, 01 Feb 2013 05:00:00 GMT

BISMARCK, N.D.—The North Dakota Insurance Department, in collaboration with the North Dakota Indian Affairs Commission, is launching a video campaign to inform Native Americans in the state how they may be able to access Medicare benefits and affordable prescription medication.

The Insurance Department’s State Health Insurance Counseling (SHIC) and Prescription Connection programs assist North Dakota residents with accessing affordable prescription medication and Medicare benefits. The programs have been challenged in reaching Native Americans in the state, in part due to a common myth that Medicare benefits are not available to people receiving benefits through Indian Health Service (IHS).

“If any North Dakota resident is over age 65 or has a disability, the Department may be able to help them access extra coverage, regardless of whether they receive IHS benefits and regardless of their income,” Insurance Commissioner Adam Hamm said.

Beginning this month, two television ads will appear on the exclusive GoodHealthTV® network, one focused on assisting people of all ages with paying for prescription medications and one focused on people who may qualify for additional health insurance through Medicare.

North Dakota Indian Affairs Commissioner Scott Davis appears in the videos alongside Hamm.

“I encourage North Dakota’s Native American residents to call the Insurance Department to get help paying for prescription drugs and accessing Medicare benefits,” Davis said.

North Dakota residents can contact SHIC and Prescription Connection at 1-888-575-6611.

GoodHealthTV is a subscription-based health information network focused on raising health literacy rates on reservations. The exclusive, culture-specific programming appears on large-screen monitors in hospitals, clinic waiting areas and community commons on reservations across the state and nationwide.

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Watch the videos on NDID's YouTube channel

Hamm elected NAIC president-elect

Mon, 03 Dec 2012 05:00:00 GMT

BISMARCK, N.D.—Members of the National Association of Insurance Commissioners (NAIC) elected their 2013 officers during a national meeting held this week. Members elected North Dakota Insurance Commissioner Adam Hamm to the position of president-elect. He will assume president-elect duties Jan. 1, 2013. Hamm currently serves as NAIC vice president.

“I look forward to working with my fellow commissioners on many important issues coming up in 2013,” Hamm said, “and continuing to be a strong advocate for our national system of state-based insurance regulation.”

Hamm is also a member of the NAIC’s Executive Committee, the Audit Committee, the Life Insurance and Annuities (A) Committee, the Health Insurance and Managed Care (B) Committee, the Financial Regulation Standards and Accreditation (F) Committee, and the International Insurance Relations (G) Committee. Hamm's NAIC-related work ensures that North Dakota has a strong national voice in insurance regulation.

The three other 2013 NAIC officers elected last week are: President James J. Donelon, Louisiana Insurance Commissioner; Vice President Monica J. Lindeen, Montana Commissioner of Securities and Insurance; and Secretary-Treasurer Michael F. Consedine, Pennsylvania Insurance Commissioner. Read more about the election at www.naic.org.

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Insurance Department reaches multi-state settlement with John Hancock Life Insurance

Fri, 16 Nov 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm announced today that the North Dakota Insurance Department has reached another multi-state settlement dealing with life insurance practices. North Dakota will receive an estimated $178,172 as part of a $13.3 million settlement with John Hancock Life Insurance Company (U.S.A.) and John Hancock Life and Health Insurance Company.

The state insurance departments in North Dakota, California, Illinois, New Hampshire, Pennsylvania and Michigan conducted a multi-state examination of John Hancock’s activities relating to identification of potentially deceased policyholders, as well as efforts to locate and pay beneficiaries. The exam revealed several areas of concern with the company’s practices.

“This settlement is important in protecting insurance consumers and their families,” Hamm said. “John Hancock joins several other companies in changing their business practices for the benefit of consumers.”

John Hancock agreed to business reforms that will ensure prompt payout of benefits to consumers, including the use of the Social Security Administration’s Death Master File (DMF) to locate information about deceased policyholders. Life insurance companies commonly use the DMF to find out if policyholders have died.

The settlement becomes effective when 14 additional state insurance departments sign on.

The Department has recently been part of three other multi-state settlements with insurance companies regarding life insurance practices. Consumers with questions about the settlement are encouraged to call the Department at 1-800-247-0560.

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Hamm reminds North Dakotans to review Medicare Part D plans by Dec. 7

Thu, 01 Nov 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm today reminded North Dakota’s Medicare beneficiaries that the annual enrollment period for Medicare Part D prescription drug coverage ends Dec. 7.

“The plans available for 2013 are different than they were in 2012, so it’s important to review your options to make sure you have the best plan for your situation,” Hamm said.

The Insurance Department’s State Health Insurance Counseling (SHIC) Program has been traveling around the state during the annual enrollment period offering free assistance in switching or enrolling in a Medicare prescription drug plan. There are two events remaining—one in Minot on Nov. 6 and one in Dickinson on Nov. 8.

If you can’t make it to one of the remaining events, there are other options.

“One of the easiest ways consumers can review their Part D plan is by calling 211 from anywhere in North Dakota,” Hamm said. “Have your medication information ready.”

After answering a few questions, a customized comparison list of Part D plans will be mailed to the caller. 211 will be taking Medicare Part D calls through Wednesday, Nov. 21. Medicare beneficiaries can also go to www.medicare.gov and enter their medication information to get a plan comparison.

For more information, call 1-888-575-6611 or visit www.nd.gov/ndins.

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Insurance Department reaches multi-state settlement with AIG

Mon, 22 Oct 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm announced today that the North Dakota Insurance Department has reached another multi-state settlement agreement dealing with life insurance practices. As part of an $11 million settlement with American International Group, or AIG, North Dakota will receive an estimated $166,659.

AIG was the target of a multi-state examination to look at how the company used information from the Social Security Administration’s Death Master File (DMF) to locate information about deceased policyholders. Normally, life insurance claims are filed by beneficiaries, but in a small percentage of cases, the insured’s family is unaware of a policy and does not make a claim. Life insurance companies commonly use the DMF to find out if policyholders have died.

“AIG has agreed to step up their business practices to locate life insurance beneficiaries,” Hamm said. “This settlement will return money to insurance consumers, and was successful thanks to the strong collaboration of state insurance regulators as well as the cooperation of AIG.”

North Dakota is one of six lead states that have joined together through the National Association of Insurance Commissioners’ Task Force to change the way life insurance companies handle claims when the companies have evidence that an insured has died. Many of the largest companies in the industry are agreeing to search proactively for beneficiaries of life insurance policies. The other lead states include California, Florida, Illinois, New Hampshire and Pennsylvania.

North Dakota was also part of another recent multi-state settlement with an insurance company regarding life insurance practices. A $7.2 million settlement with Nationwide Life Insurance Company will result in North Dakota receiving an estimated $162,155.

Consumers with questions about the settlement are encouraged to call the Department at 1-800-247-0560.

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Hamm reminds North Dakotans of upcoming Medicare Part D annual enrollment

Tue, 02 Oct 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm today reminded North Dakotans the annual enrollment period for Medicare Part D prescription drug coverage, Oct. 15 through Dec. 7, is coming up.

“We want to make sure all Medicare beneficiaries know this is the time to compare Part D drug plans,” Hamm said. “Beneficiaries used to have until the end of the year, but for the second year in a row, the enrollment period ends Dec. 7. It’s very important to review your plan before that date.”

The Insurance Department’s State Health Insurance Counseling Program (SHIC) staff is traveling to seven cities around the state during the annual enrollment period, offering free assistance in switching or enrolling in a Medicare prescription drug plan. If you will be attending an event and have been given a yellow drug retrieval card, please bring it to the event for expedited service. Consumers also need to bring a list of their medications, including dosages and frequency.

Eligible North Dakotans who are unable to attend an annual enrollment event have two other options:
• Call 2-1-1 by Nov. 21, 2012 from anywhere in North Dakota. Have your medication information ready. The top three plan choices will be mailed to beneficiaries.
• Visit www.medicare.gov and enter your information in the Plan Finder tool. On the homepage, click the yellow button labeled “find health and drug plans.”

“It’s important to review your drug plan every year,” Hamm said. “Companies often make changes to the plans they offer and to the drugs they cover. Make sure your plan is still the best one for you.”

For details on the annual enrollment events, call SHIC at 1-888-575-6611 or visit www.nd.gov/ndins.

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Hamm invites insurance agents to annual Department forums

Mon, 17 Sep 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm today invited North Dakota’s insurance agents to attend the Insurance Department’s annual agent forums, scheduled for Oct. 1–5.

Hamm, along with four other Insurance Department staff members, will visit seven cities in five days to talk to agents about upcoming 2013 legislation, producer ethics and licensing, market analysis and filings, and complaints, trends and issues. Attendees will receive three hours of continuing education credit, including one hour of ethics credit.

“This year’s group of presenters includes a few new faces from our staff,” Hamm said. “I encourage agents to take this opportunity to meet them and to learn more about what’s going on in the insurance industry in our state.”

The agent forum schedule is as follows:

8:30–11:30 a.m. Monday, Oct. 1
Jamestown
Knights of Columbus

1:30–4:30 p.m. Monday, Oct. 1
Grand Forks
Ramada Inn

9 a.m.–noon Tuesday, Oct. 2
Fargo
Doublewood Inn

9 a.m.–noon Wednesday, Oct. 3
Bismarck
Ramkota Hotel

8–11 a.m. MT Thursday, Oct. 4
Dickinson
DSU Badlands Activity Center

1:30–4:30 p.m. Thursday, Oct. 4
Williston
Marquis Plaza & Suites

9 a.m.–noon Friday, Oct. 5
Minot
Grand International Inn

For more information, call the Insurance Department at 1-800-247-0560.

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Hamm revokes Bismarck insurance agent Samuel Neutgens' license

Fri, 14 Sep 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm has revoked the license of Samuel Ray Neutgens, a Bismarck insurance agent who improperly signed a customer’s name on an insurance policy cancellation letter. The revocation bars him from selling, soliciting or negotiating insurance in North Dakota.

Neutgens signed the customer’s name to a policy cancellation letter for two term life insurance policies without the customer’s knowledge or permission. Neutgens also failed to respond to three requests from the Insurance Department for a written statement explaining the circumstances of the violation.

“Consumer protection is the Department’s top priority, and revoking Mr. Neutgen’s license ensures he will bring no further harm to consumers,” Hamm said.

Neutgens signed a consent order, waiving his right to a hearing. For more information about this case or to report suspected fraud, contact the Insurance Department at 1-800-247-0560 or visit www.nd.gov/ndins.

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Click here to see the order.

Hamm: Be prepared for Labor Day weekend with WreckCheck mobile app

Fri, 31 Aug 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm today encouraged consumers to download a new smart phone app ahead of the Labor Day weekend that takes the guesswork out of auto accidents. The free WreckCheck mobile app walks users through the process of creating an accident report following an auto accident.

The National Association of Insurance Commissioners (NAIC) developed the mobile phone application, which is available for Android and iPhone users. WreckCheck helps users capture accident photos and collect the necessary information to file an insurance claim, and allows users to email it to themselves and their insurance agent.

“The amount of traffic increases significantly during the Labor Day weekend, and so does the risk of getting into an accident,” Hamm said. “The WreckCheck app turns a stressful situation into an easy-to-follow, step-by-step process.”

A recent survey by the NAIC revealed many consumers aren’t sure what information to share after a car accident. Twenty-five percent of respondents indicated they would share their home addresses. Consumers generally only need to share their names and insurance information; sharing information like home addresses can be risky.

Visit the Insurance Department’s website to download the free app. Consumers with questions or complaints about insurance claims are encouraged to call the Department at 1-800-247-0560.

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Hamm revokes Bismarck insurance agent Brent Kitzan's license

Wed, 01 Aug 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm has revoked the license of Brent Kitzan, a Bismarck insurance agent. The revocation bars him from selling, soliciting or negotiating insurance in North Dakota.

Kitzan was arrested in July 2012 and charged with 14 counts of felony theft of property, eight counts of felony insurance fraud and five counts of felony fraudulent securities practices.

“Mr. Kitzan’s breach of his clients’ trust brought on today’s action,” Hamm said. “Revoking his license guarantees he can do no further harm.”

Kitzan signed the revocation order, waiving his right to a hearing.

The Insurance Department issued a cease and desist order against Kitzan in December 2011.

For more information about this case or to report suspected fraud, contact the Insurance Department at 1-800-247-0560 or visit www.nd.gov/ndins.

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Click here to read the revocation order.

Hamm issues cease and desist order against Fargo-area insurance agent and agency

Tue, 17 Jul 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm recently served a cease and desist order upon Robert Schmitz, a Fargo-area insurance agent, and his agency, Schmitz Insurance Agency, for allegedly failing to pay state and federal taxes and allegedly mishandling premium payments made by clients. The order bars Schmitz and his agency from engaging in the business of insurance until further notice.

Schmitz allegedly accepted premium payments and failed to pay premiums on behalf of clients in a timely fashion resulting in notices of cancellation, and allegedly issued checks with insufficient funds. Also, Schmitz allegedly issued one or more paychecks with insufficient funds to an employee.

In 2008, Schmitz was convicted of issuing a check with insufficient funds in Traill County District Court. In 2010, the Internal Revenue Service filed a tax lien against Schmitz for $371,210; in 2011, the North Dakota Tax Department filed a tax lien against him for $52,808. North Dakota state law prohibits insurance producers from being financially irresponsible.

“I strongly encourage consumers who have done business with Mr. Schmitz or the Schmitz Insurance Agency to call their insurance companies to verify their policies,” Hamm said.

Schmitz has the right to request an administrative hearing on the cease and desist order within 30 days.

Schmitz Insurance Agency has offices in Fargo, Finley and Gardner, N.D. and Stephen, Minn. Consumers with questions or concerns are encouraged to contact the North Dakota Insurance Department at 1-800-247-0560 or insurance@nd.gov.

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Click here to see the order.

Hamm issues cease and desist orders against Dickinson, Fargo insurance agents in unrelated cases

Thu, 05 Jul 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm recently served cease and desist orders against Scott Biggs, a Dickinson insurance agent, as well as Robert Medhus, a Fargo insurance agent, and his agency, Medhus Company. The orders bar both men from engaging in the business of insurance until further notice.

Biggs allegedly placed a client’s assets into various trust accounts and, without the knowledge of the client, withdrew $30,000 from one of the accounts. When the client attempted to withdraw money from the same account, Biggs allegedly advised him that the IRS had frozen the accounts. The client requested proof, but Biggs refused to provide any documentation.

Biggs also allegedly issued two cashier’s checks from a savings account that had been set up for the client. The first check in the amount of $23,552 was paid to a Chase credit card in Biggs’ name; he allegedly used the second check written for $5,805 to purchase three gold coins. Biggs was charged with five counts of felony theft of property in Stark County District Court in May 2012.

In June 2012, the North Dakota Securities Commissioner issued a cease and desist order against Medhus and Medhus Company alleging that he falsely reported to an investor that the bulk of the investor’s retirement assets had been rolled over into an IRA account. He also allegedly forged a federal tax form indicating a mandatory distribution to the investor from the IRA of $17,100 for tax year 2011. Medhus allegedly attempted to pay the distribution with a $17,100 check, but the funds were insufficient. When the investor requested liquidation of the retirement plan assets, Medhus allegedly issued another check to the investor with insufficient funds in the amount of $319,125. Medhus has been unable to account for the investor’s retirement plan assets. Medhus and Medhus Company failed to report the December 2011 securities registration suspension to the Insurance Department, which is a violation of North Dakota law.

“Consumer protection is the Department’s number one priority, and these orders are important in preventing further harm to consumers,” Hamm said.

Both Biggs and Medhus have a right to request an administrative hearing within 30 days. Consumers with questions or concerns are encouraged to contact the Insurance Department at 1-800-247-0560.

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Scott Biggs cease and desist order

Robert Medhus cease and desist order

Hamm: Bismarck insurance agent facing multiple insurance fraud charges

Tue, 03 Jul 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm today announced the arrest of Brent Kitzan, a Bismarck insurance agent who is charged with 14 counts of felony theft of property, eight counts of felony insurance fraud and five counts of felony fraudulent securities practices.

The Insurance Department and the North Dakota Securities Department conducted a joint investigation into Kitzan’s practices after receiving multiple complaints. Investigators allege that, while working as a licensed insurance agent under the business name Kitzan & Associates, Kitzan perpetrated multiple schemes against several of his elderly insurance clients and allegedly stole a total of more than one million dollars.

“Following a lengthy investigation, we turned the case over to the Burleigh County State’s Attorney’s office and worked with them to file these charges,” Hamm said.

Kitzan was arrested over the weekend on an unrelated charge. While in custody, Insurance Department investigators served Kitzan with the 27-count arrest warrant on insurance fraud and other insurance-related charges.

The Insurance Department issued a cease and desist order against Kitzan in December 2011.

The North Dakota Insurance Department employs two sworn peace officers dedicated to investigating and prosecuting claims of insurance fraud. In 2011, the Department received 120 reports of insurance fraud amounting to more than $1.45 million in suspicious claims.

For more information about this case or to report suspected fraud, contact the Insurance Department at 1-800-247-0560 or visit www.nd.gov/ndins.

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Hamm issues statement on Supreme Court health care reform ruling

Thu, 28 Jun 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm today issued the following statement in regard to the ruling of the Supreme Court of the United States on the Patient Protection and Affordable Care Act:

“As most North Dakotans know by now, the Supreme Court of the United States ruled today to uphold the federal health care reform law, also known as the Patient Protection and Affordable Care Act. While I am disappointed with today’s Supreme Court ruling, I have a deep respect for the rule of law and as a constitutional officer of the State of North Dakota I am obligated to enforce it.”

A five-to-four majority of the Supreme Court held that the provision requiring individual citizens to purchase health insurance coverage is permissible under the taxing authority of the U.S. Constitution.

“Since the law was enacted in March 2010, the State of North Dakota and the North Dakota Insurance Department have been working diligently to attempt to ensure that the law will be implemented in a way that is best for the people of North Dakota. Now that the Supreme Court has ruled definitively, these issues will move back to the political branches of the federal government. As that process unfolds, we will continue to move forward and do what we can to attempt to make this law work for North Dakotans,” Hamm said.

In 2010, North Dakota and 13 other states joined in the litigation challenging the federal health care reform law. The multi-state litigation ultimately expanded to include 26 states. In January 2011, the U.S. District Court ruled that the health care reform law was unconstitutional. The court ruled that the provisions requiring Americans over 18 to obtain qualifying insurance coverage or face a penalty exceeded Congress’ powers under the Commerce Clause of the U.S. Constitution and the entire law must fall. In August 2011, the 11th Circuit Court of Appeals affirmed the U.S. District Court ruling that the federal health care reform individual mandate is unconstitutional but it found the rest of the law could remain in place. The case was then argued before the Supreme Court of the United States in March 2012.

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Hamm fines United National Life Insurance for using disapproved rate

Tue, 05 Jun 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm recently fined United National Life Insurance Company $7,500 for implementing a disapproved rate increase. United National Life Insurance Company is headquartered in Illinois.

In October 2010, the North Dakota Insurance Department disapproved United National’s request to increase its rate for a Medicare supplement insurance product. In January 2012, the Department learned that United National had implemented the disapproved rate increase.

“North Dakota is a prior-approval state, which means no insurance policy, contract or agreement may be issued until it has been filed with and approved by the Insurance Department,” Hamm said.

The Department issued an order against United National, imposing the $7,500 penalty. The company agreed to stop its use of the disapproved rate and will refund the entire amount of the unapproved rate increase to affected policyholders within 30 days of the order.

Consumers with questions are encouraged to call the Insurance Department at 1-800-247-0560.

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Click here to see the consent order.

Hamm issues cease and desist order against Utah insurance agent

Mon, 21 May 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm today served a cease and desist order upon Bart Winterton, a Utah insurance agent who allegedly acted as an insurance producer even though he is not licensed in North Dakota. Agents selling, soliciting or negotiating insurance to North Dakota residents are required by law to be licensed through the North Dakota Insurance Department. The order bars Winterton from engaging in the business of insurance until further notice.

“I encourage consumers to visit our website or call the Department to find out if an agent is properly licensed in our state,” Hamm said.

Winterton has the right to request an administrative hearing on the cease and desist order within 30 days of the date of the order.

Consumers with questions about insurance policies through Winterton are encouraged to contact the North Dakota Insurance Department at 1-800-247-0560 or insurance@nd.gov.

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Click here to see the order.

Hamm revokes Minot bail bond agent Karen Andrews' license

Thu, 17 May 2012 05:00:00 GMT

BISMARCK, N.D.—North Dakota Insurance Commissioner Adam Hamm has revoked the license of Karen Andrews, a Minot bail bond agent. The revocation bars her from selling, soliciting or negotiating bail bonds in North Dakota.

Andrews applied for a resident insurance bail bond agent license in March 2011. On her initial application, Andrews did not indicate she had been convicted of any crimes. However, a check of North Dakota court records revealed that she had been convicted of issuing a check with insufficient funds in 2004 and 2008. Further investigation also revealed six outstanding judgments against Andrews totaling approximately $8,100. Applicants are required to disclose certain criminal convictions.

Andrews was ultimately offered and agreed to a conditional license with several specific provisions, one of which barred her from handling funds in any insurance-related employment for three years. During this probation period, the Insurance Department received a complaint that revealed Andrews had written a bail bond in the amount of $1,000 and accepted $500 as collateral, which violated her conditional license agreement. The bail bond was issued on behalf of a company to which she was not appointed, and she did not return the collateral after the bond was exonerated.

Additionally, Andrews failed to keep her business address current with the Department, and failed to respond to the Department’s written notification of a complaint, both of which violate North Dakota law.

“Ms. Andrews’ actions are unacceptable and revoking her license guarantees that she will no longer be working with North Dakota’s insurance consumers,” Hamm said.

Andrews signed the revocation order, waiving her right to a hearing.

Consumers with questions about bail bonds through Andrews are encouraged to call the North Dakota Insurance Department at 1-800-247-0560.

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Click here to see the order.