A man running a fake insurance company out of his house in Georgia has been arrested and charged with 10 counts of insurance fraud. John Kill, a 63-year-old, had been selling bogus insurance policies to small trucking companies and pocketing the premiums.
Kill’s unlicensed insurance company, Appeal Insurance Agency, may have “covered” between 750 and 1000 truckers, stealing their money, and leaving them without any insurance at all.
Insurance Commissioner Ralph Hudgens said that Kill was arrested at his home and that though he has only been charged with 10 counts of insurance fraud so far, more charges could follow. According to GoByTruckNews, charges could include additional counts of insurance fraud and forgery.
Hudgens said that authorities were alerted to the fraud when customers contacted insurance providers directly and found that they had no record of policies in their name.
The scam was lucrative while it lasted. According to Hudgens, seized bank accounts contained hundreds of thousands of dollars. Kill has been released on bail after paying $2,400 per charge.
If you believe that you may have fallen victim to this scam, contact your insurance provider to make sure that your coverage exists. If you discover a problem, contact the Insurance Department’s Consumer Services Division at 1-800-656-2298.
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Source: wsbtv, ajc, patch, gobytrucknews, gwinnettcountysheriff
Ray says
I’m not sure why they didn’t verify their policy with the insurance company immediately after talking to him.
Joe Skeptical says
The agent IS the insurance company.
Ray says
Not according to the article.
“Hudgens said that authorities were alerted to the fraud when customers contacted insurance providers directly and found that they had no record of policies in their name.”
Chris says
Stealing their money? All insurance companies steal everyone’s money. We pay them each month for NOTHING! This guy was doing the same thing all insurance companies do.
Gary Jolley says
No the agent is not the company he or she is the broker. You have every right to check on your policy and its standings. If you have a problem with an agency you may call the Division of Insurance Licensing within your State.