- Florida Insurance Commissioner Kevin McCarty today announced the Florida Office of Insurance Regulation (Office) has issued a Final Order
to a dozen entities, including companies and their officers, for the unauthorized sale of health insurance products in Florida. The Office issued the Order after sending a previous Order
to each of the named individuals and entities in February, requiring them to Cease and Desist from engaging in the unauthorized transaction of insurance. These individuals and entities include:
Beema-Pakistan Company LTD., Serve America Assurance LTD., William Worthy II, Real Benefits Association, David L. Clark, Affinity Group Benefits Association Inc., American Trade Association Inc., Smart Data Solutions L.L.C., SDS Management Group, Bart Posey, Richard Bachman, and Obed Kirkpatrick.
"This unauthorized activity misled thousands of Florida consumers," said Insurance Commissioner Kevin McCarty. "We will not tolerate the unlicensed and unauthorized sale of insurance products in our state."
The Office initiated an investigation after receiving numerous complaints about "fax blasts" or unsolicited faxes advertising inexpensive health insurance coverage. According to some Florida consumers, the policies issued were not for major medical insurance coverage as represented. Instead, the policies were for unauthorized limited benefit plans.
All but two of the aforementioned individuals and entities failed to respond to the previous order and waived their rights to any further proceeding. Real Benefits Association and David L. Clark responded to the initial order but did not dispute the Office’s findings. The individuals and entities involved could face thousands of dollars in fines if they violate the Final Order. Under Florida law a person or entity may not transact, administer, or market insurance products either in the State of Florida or from the State of Florida unless authorized by the Office.
American Trade Association Inc., Smart Data Solutions L.L.C., and Service America Assurance LTD., are in the process of liquidation
proceedings in the State of Tennessee.
Consumers may determine if a health insurer is licensed in Florida by visiting the Company Search tool on www.floir.com