Insurance agents in Washington state can lose their licenses if they are deemed "untrustworthy."
The Washington State Court of Appeals recently ruled that Insurance Commissioner Mike Kreidler was correct in revoking insurance agent Jack Chandler's license based on the fact that he had shown himself to be untrustworthy in his sales conduct with elderly consumers.
The court also agreed with the Commissioner that Chandler attempted to exploit senior citizens by using misleading marketing tactics to get them to buy reverse mortgages, living trusts and long-term care insurance. He also misrepresented himself on his Washington licensing application when he failed to disclose complaints against him in California.
Commissioner Kreidler was quoted in the Department News Release of August 28, 2008 as stating that "Mr. Chandler preyed on some of our most vulnerable citizens and I cannot allow that to happen,"
Commissioner Mike Kreidler is to be heartily applauded for his efforts. I have written to Mike Kreidler and suggested that there is another vulnerable segment of the population being exploited by insurance agents that he should look into. Please read it.
I fully expect this letter to send a chills down a few insurance agents spines in the structured settlement industry. I see little difference in the need for regulation of sales practices to seniors or structured annuity recipients.