For more information, contact: Robert Luck, Consumer Attorney,
Phone: (608) 266-0082,
E-mail: robert.luck@oci.state.wi.us

Madison, WI - OCI has taken the following administrative actions. In many of these cases the respondent denied the allegations but consented to the action taken.

OCI is responsible for overseeing the operations and marketing of insurance companies and agents in Wisconsin. OCI encourages anyone with a question or a complaint regarding an insurance company or agent to contact the office at this toll-free telephone number: 1-800-236-8517.

Allegations and Actions Against Agents

Michael F. Ajango, 428 N Superior St. #140, De Pere, WI 54115, paid a forfeiture of $250.00 and was ordered to cease and desist from violating s. Ins. 6.61, Wis. Adm. Code. This action was based on allegations of failing to report an administrative action taken by the Wisconsin Department of Financial Institutions.

Tina K. Baughman, 16769 Charmel Ln., Pacific Palisades, CA 90272, paid a forfeiture of $500.00 and was ordered to comply with the reporting requirements of s. Ins. 6.61(16), Wis. Adm. Code. This action was based on allegations of failing to report an administrative action taken by another state.

Anthony James Bell, 734 Mayflower Rd. Apt. 7, Appleton, WI 54913, has had his application for an insurance license denied. This action was based on allegations of failing to respond promptly to inquiries from OCI regarding criminal convictions.

Todd Joseph Cleveland, 4137 Meadow Pky. #A, Hermantown, MN 55811, has had his application for an insurance license denied for 31 days. This action was based on allegations of failing to disclose administrative action taken by the state of Minnesota on an insurance license application.

Tara Nyree Ferguson, 1818A W. Fairmont, Milwaukee, WI 53209, agreed to a denial of her application for an insurance license for 31 days. This action was based on allegations of failing to respond promptly to inquiries from OCI regarding indebtedness or bankruptcy.

Murray Fischer, 16440 NE 29th Ave., N. Miami Beach, FL 33160, has had his application for an insurance license denied for 31 days. This action was based on allegations of failing to disclose administrative action taken by the state of Mississippi on an insurance license application.

George Fitzharris, 6104 W. Lincoln Ave., Milwaukee, WI 53219, was ordered to cease and desist from violating s. 628.34 (1), Wis. Stat. by failing to immediately forward applications and premiums to insurers. This action was based on allegations of retained workers compensation premiums for a period of time and failure to timely submit applications to the insurer.

Peter Raymond Guzzi, Jr., 3835 S. Mallard Ln., Doylestown, PA 18901, has had his application for an insurance license denied for 31 days. This action was based on allegations of failing to disclose administrative action by the state of New Jersey on an insurance license application.

Travis R. Ivory, 11830 Rosary Ln., St. Louis, MO 63138, has had his application for an insurance license denied. This action was based on allegations of failing to respond promptly to inquiries from OCI regarding child support arrearages and judgment or bankruptcy.

Sean Michael Koehler, 6501 Yale, Apt. 920, Westland, MI 48184, has had his application for an insurance license denied. This action was based on allegations of failing to disclose a previous administrative action taken by the state of Wisconsin on an insurance license application and nonresponse to OCI's request for information relating to child support arrearages.

Teresa Y. McClain, 7614 Evelyn T. Butts Ave., Norfolk, VA 23513, has had her application for an insurance license denied. This action was based on allegations of failing to respond promptly to inquiries from OCI regarding administrative actions.

Kris A. Nelsen, 1520G Big Bend Rd., Waukesha, WI 53189, was ordered to cease and desist from binding Wisconsin Insurance Plan policies in violation of s. Ins. 4.10 (19), Wis. Adm. Code. This action was based on allegations of misrepresenting that a WIP policy was bound when she did not have authority to bind the policy.

Daniel V. Otto, 2515 Elmwood Blvd., Wausau, WI 54403, has had his application for an insurance license denied. This action was based on allegations of failing to respond promptly to inquiries from OCI regarding providing a Wisconsin original signed passing score report.

Paul J. Polaski, 19100 Blue Ridge Ct., Brookfield, WI 53045, was ordered to cease and desist from violating s. Ins. 6.61, Wis. Adm. Code. This action was based on allegations of failing to report an administrative action taken by the Wisconsin Department of Financial Institutions.

Volney A. Powlis, 1705 Orchard Way, Chesapeake, VA 23320, has had his application for an insurance license denied. This action was based on allegations of failing to respond promptly to inquiries from OCI regarding judgment or bankruptcy.

Frances R. Regis, 314 N. 115th St., Wauwatosa, WI 53226, paid a forfeiture of $500.00 and was ordered to pay return of premium in amount of $530.18 to a policyholder and has had her insurance license revoked. This action was based on allegations of failure to forward return of premium to a policyholder and failure to respond to an inquiry from OCI.

Thomas Vernon Smith, 3070 Hunters Tr., Mt. Pleasant, MI 48858, has had his application for an insurance license denied. This action was based on allegations of failing to disclose administrative action taken by the state of Michigan on an insurance license application and nonresponse to OCI's request for information.

Chad N. Solsvig, 1007 7th St., Hudson, WI 54016, has had his application for an insurance license denied. This action was based on allegations of a criminal conviction substantially related to insurance marketing type conduct and no response to OCI's request for information.

Hans S. Wegesser, W169 N8684 Sheridan Dr., Menomonee Falls, WI 53051, paid a forfeiture of $250.00 and was ordered to cease and desist from violating s. Ins. 6.61, Wis. Adm. Code. This action was based on allegations of failing to report an administrative action taken by the Wisconsin Department of Financial Institutions.

Allegations and Actions Against Companies

American Family Mutual Insurance Company, 6000 American Pky., Madison, WI 53783, paid a forfeiture of $500.00 and was ordered to amend its procedure of accepting unsigned applications from agents and to cease and desist from accepting business from unlicensed and unlisted insurance intermediaries. This action was based on allegations of utilizing the services of an unlicensed agent.

Auto Services Company, Inc., 801 S. College St., Mountain Home, AR 72653, paid a forfeiture of $60,000.00 and was ordered to cease and desist from issuing service contracts to Wisconsin residents unless it obtains a limited certificate of authority. This action was based on allegations of doing a warranty plan business without being properly licensed.

Badger Mutual Insurance Company, 1635 W. National Ave., Milwaukee, WI 53204, was ordered to cease and desist from violating s. Ins. 21.01 (6) (a) by failing to provide written notice of cancellation to worker's compensation policyholders. This action was based on allegations of improper cancellation of a worker's compensation policy.

Continental Insurance Company, CNA Plaza, Chicago, IL 60685, paid a forfeiture of $1,200.00 and was ordered to cease and desist from failing to provide the required offer to continue or renew an insurance policy upon cancellation or nonrenewal due to termination of an intermediary contract. This action was based on allegations of issuing an improper midterm cancellation or nonrenewal of an insurance policy.

Continental Western Insurance Company, 11201 Douglas Ave., Urbandale, IA 50322, paid a forfeiture of $1,000.00 and was ordered to cease and desist from issuing motor vehicle insurance policies to Wisconsin policyholders that include liability coverage unless the policies also include uninsured motorist coverage. This action was based on allegations of violating s. 632.32 (4), Wis. Stat.

Continental Western Insurance Company, 11201 Douglas Ave., Urbandale, IA 50322, paid a forfeiture of $2,000.00 and was ordered to cease and desist from altering policy terms and/or increasing premiums 25% or more without providing proper notice, from nonrenewing policies without providing the policyholder the required notice, and from nonrenewing policies without stating with reasonable precision the facts on which the insurer's decision is based. This action was based on allegations of issuing an improper midterm cancellation or nonrenewal of an insurance policy and increasing the premium more than 25% without providing the policyholder the required notice.

Foremost Insurance Company, 5600 Beach Tree Ln., Caledonia, MI 49316, paid a forfeiture of $8,500.00 and was ordered to cease and desist from returning premium that is less than the pro rata unearned premium unless proper notice is given and to recalculate the refund premium on a pro rata basis. This action was based on allegations of issuing an improper midterm cancellation or nonrenewal of an insurance policy.

General Insurance Company of America, Safeco Plaza, Seattle, WA 98185, paid a forfeiture of $500.00 and was ordered to provide the information requested and to reply promptly in writing and provide all information requested in response to all inquiries from the Commissioner. This action was based on allegations of failing to respond promptly to inquiries from OCI.

The Glens Falls Insurance Company, CNA Plaza, Chicago, IL 60685, paid a forfeiture of $750.00 and was ordered to cease and desist from failing to provide the required offer to continue or renew an insurance policy upon cancellation or nonrenewal due to termination of an intermediary contract. This action was based on allegations of issuing an improper midterm cancellation or nonrenewal of an insurance policy.

Liberty Mutual Fire Insurance Company, 175 Berkeley St., Boston, MA 02117, paid a forfeiture of $2,000.00 and was ordered to cease and desist from mailing renewal notices to policyholders less than 60 days prior to the policy renewal date when increasing the renewal premium 25% or more and without a notice to the policyholder of the right to cancel the policy. This action was based on allegations of issuing an improper renewal of an insurance policy.

Managed Health Services Insurance Corp., 1205 S. 70th St. Ste. 500, West Allis, Wi 53214, paid a forfeiture of $1,000.00. This action was based on allegations of failing to comply with a previous examination order.

Milwaukee Service Contract Corp., 6001 W. Capital Dr., Milwaukee, WI 53216, paid a forfeiture of $2,000.00 and was ordered to provide the requested information and promptly reply to all future requests. This action was based on allegations of failing to respond promptly to inquiries from OCI and failing to promptly comply with an order issued.

Milwaukee Service Contract Corp., 6001 W. Capital Dr., Milwaukee, WI 53216, paid a forfeiture of $2,000.00 and was ordered to provide the information requested and reply promptly in writing to all future inquiries. This action was based on allegations of failing to respond promptly to inquiries from OCI and failing to promptly comply with an order issued.

Milwaukee Service Contract Corp., 6001 W. Capital Dr., Milwaukee, WI 53216, was ordered to file financial statements in conformity with generally accepted accounting principles and provide an additional letter of credit. This action was based on allegations of failing to file a required a GAAP financial statement by the due date.

Prudential Property and Casualty Insurance Company, 23 Main St., Holmdel, NJ 07733, paid a forfeiture of $500.00 and was ordered to cease and desist from increasing premiums 25% or more without providing proper notice. This action was based on allegations of increasing a policy premium upon renewal in excess of 25% without providing proper notice of policyholder rights in violation of s. 631.36 (5), Wis. Stat.

Safeco Insurance Company of America, Safeco Plaza, Seattle, WA 98185, paid a forfeiture of $750.00 and was ordered to cease and desist from issuing cancellation and/or non-renewal notices that fail to state with reasonable precision the facts on which the insurer's decision is based and to provide OCI an audit report of randomly selected cancelled and nonrenewed personal lines policies to confirm compliance with s. 631.36 (6), Wis. Stat. This action was based on allegations of issuing an improper midterm cancellation or nonrenewal of an insurance policy and failing to state with reasonable precision the facts on which the insurer's decision is based.

Standard Fire Insurance Company, One Tower Square, Hartford, CT 06183, paid a forfeiture of $1,000.00 and was ordered to cease and desist from improperly canceling policies midterm. This action was based on allegations of issuing an improper midterm cancellation of an insurance policy.

State Auto Property and Casualty Insurance Company, 112 S. Main St., Greer, SC 29650, paid a forfeiture of $1,500.00 and was ordered to cease and desist from midterm cancellation of worker's compensation policies for underwriting reasons except as otherwise not prohibited under applicable law. This action was based on allegations of issuing an improper midterm cancellation of an insurance policy.

State Farm Fire and Casualty Company, One State Farm Plaza, Bloomington IL 61701, was ordered to cease and desist from failing to provide adequate instructions to worker's compensation policyholders applying to the Wisconsin Worker's Compensation Plan and to cease and desist from using unapproved policy forms in the state of Wisconsin. This action was based on allegations of using unapproved worker's compensation policy forms in violation of s. 631.20 (1), Wis. Stat., and failing to provide adequate instruction to worker's compensation policyholders as required by s. 631.36 (7), Wis. Stat.

Touchpoint Health Plan, Inc., P.O. Box 507, Appleton, WI 54912, paid a forfeiture of $1,000.00 and was ordered to cease and desist from releasing nonpublic financial information without proper authorization. This action was based on allegations of releasing nonpublic personal information without the individual's consent.

VAC Service Corp., 99 Tower Dr., Middletown, NY 10940, paid a forfeiture of $750.00 and was ordered to provide the requested information and promptly reply in writing to all requests for information from the Commissioner. This action was based on allegations of failing to file a required financial statement by the due date.

Wisconsin Vision Service Plan, Inc., 3333 Quality Dr., Rancho Cordova, CA 95670, paid a forfeiture of $1,500.00. This action was based on allegations of failing to comply with a previous examination order.

Copies of Administrative Actions