Washington Commissioner Fined Insurers and Producers $66K

Washington state Insurance Commissioner Mike Kreidler fined insurers and producers $66,328 in January and February.

Kreidler’s fines in January included New York Life Insurance Co. to the tune of $46,328 for failing to ensure its producers were up to date on their training requirements.

Agents are required to receive specific long-term care training and continuing education to ensure they have the knowledge to properly sell long-term care products. New York Life Insurance reportedly failed to verify that 22 of its producers had received the requisite training before they were allowed to sell or negotiate the company’s long-term care insurance products in 2021 and 2022.

Other January & February fines and consent orders

The fine was part of $66,328 in fines Kreidler’s office issued in January and February of for violations of state insurance laws and regulations. The other fines and reported violations included:

VSP Vision Care, Inc., Richmond, Va.; fined $5,000

VSP failed to file large group negotiated rates within the timeframe required by state law.

Continental Western Insurance Company, Urbandale, Iowa; fined $4,000

Continental Western used incorrect rating factors in its commercial package policies.

Kaiser Foundation Health Plan of Washington, Seattle, Wash.; fined $10,000

Kaiser fell victim to a security breach after an employee sent login information in response to a phishing email. The company was required to report the breach to the OIC two days after an analysis of the incident was completed, but did not report the breach until 11 days after the analysis.

Norcal Insurance Company, San Fransico, Calif.; fined $1,000

Norcal failed to renew 50 producer appointments within the required timeframe and did not update its legal name in two mobile apps.

Since 2001, Kreidler has assessed more than $40 million in fines, which are directed to the state’s general fund to pay for state services.

Topics
Carriers
Washington