Judges: SHARYN L. SMITH
Agency: Department of Financial Services
Latest Update: Dec. 16, 1983
Summary: Insurance license should be revoked when lack of fitness or trustworthiness by making false or fraudulent statements relative to an insurance policy proven.
83-2297STATE OF FLORIDA
DIVISION OF ADMINISTRATIVE HEARINGS
DEPARTMENT OF INSURANCE, )
)
Petitioner, )
)
v. ) CASE NO. 83-2297
)
DORMAN KENNEDY HICKS, )
)
Respondent. )
)
RECOMMENDED ORDER
Pursuant to notice, the Division of Administrative Hearings, by its duly designated Hearing Officer, Sharyn L. Smith, held a formal hearing in this case on November 7, 1983, in Tallahassee, Florida. The following appearance was entered:
APPEARANCES
For Petitioner: Susan E. Koch, Esquire
Department of Insurance 413-B Larson Building
Tallahassee, Florida 32301 For Respondent: No appearance
The issue for determination at the final hearing was whether the ordinary life, including disability license of the Respondent Dorman Kennedy Hicks should be revoked, suspended, or otherwise disciplined for the acts alleged in the Administrative Complaint dated June 16, 1983.
At the final hearing, Petitioner's Exhibits 1-5 were offered and admitted into evidence.
FINDINGS OF FACT
The Respondent Dorman Kennedy Hicks is licensed as an ordinary life, including disability agent in the State of Florida.
On April 7, 1982, the Respondent visited Herbert G. and Oma Riley at their home in Pompano Beach, Florida, to sell them insurance.
The Respondent sold Mr. and Mrs. Riley medicare supplement policy number 13-986-6209 issued by Union Fidelity Life Insurance Company.
The Respondent was given by Mrs. Riley, a $358.30 check dated April 7, 1982 for a six-month premium for the medicare policy with Union Fidelity.
Mr. and Mrs. Riley repeatedly told the Respondent that their medical histories were poor and he assured them that they could nevertheless obtain medical coverage through Union Fidelity.
Despite Mr. and Mrs. Riley's request, the Respondent failed to include their poor medical histories with the application he forwarded to Union Fidelity.
When Mr. and Mrs. Riley received a copy of their policy, their medical histories were not included. They then called the Respondent in order for him to submit the information to the insurance company. The Respondent assured the Rileys that he would forward the information to Union Fidelity; however, he never notified the company as he had told the Rileys.
After Mr. and Mrs. Riley notified Union Fidelity directly about their medical histories, the company cancelled their coverage.
The Respondent accepted payment from Mr. and Mrs. Riley knowing that he could not obtain medical coverage for them if their medical histories were disclosed to the company.
The application which the Respondent solicited from Mr. and Mrs. Riley for coverage with Union Fidelity was dated April 27, 1982.
The Respondent had been terminated by Union Fidelity for cause on April 8, 1982.
On the date of the application which was solicited from Mr. and Mrs. Riley, the Respondent was not authorized to represent Union Fidelity.
The application which the Respondent solicited from Mr. and Mrs. Riley for coverage with Union Fidelity dated April 27, 1982, was signed by Lester Fulford, a soliciting agent.
Lester Fulford was not present at the time that the Respondent solicited the insurance application from Mr. and Mrs. Riley.
CONCLUSIONS OF LAW
The Division of Administrative Hearings has jurisdiction over the parties to and the subject matter of this proceeding. Section 120.57(1), Florida Statutes.
The Respondent Hicks is charged with violating Sections 626.311(4), by transacting under his license a type of insurance for which no agency appointment by an authorized insurer existed; 626.611(4), by willfully circumventing the prohibitions of the Insurance Code; 626.611(7), by demonstrating a lack of fitness or trustworthiness to engage in the business of insurance; 626.611(9), by engaging in fraudulent or dishonest practices; 626.9541(21)(b), by doing business for an insurer without authority; 626.9541(5)(a)(2), by knowingly making a false material statement; and 626.9541(11)(a), by making false or fraudulent statements relative to an insurance policy to obtain a fee or commission.
The Petitioner Department of Insurance has demonstrated by clear and convincing evidence that the Respondent Hicks violated these statutory provisions in his dealings with Mr. and Mrs. Riley and Union Fidelity Insurance
Company. Based on the record established at final hearing, the Respondent constitutes a threat to the public and should not be licensed as an insurance agent in Florida.
RECOMMENDATION
Based on the foregoing Findings of Fact and Conclusions of Law, it is RECOMMENDED that the Department of Insurance enter a Final Order revoking
the insurance licenses of the Respondent Dorman Kennedy Hicks.
DONE and ENTERED this 9th day of November, 1983, in Tallahassee, Florida.
SHARYN L. SMITH,
Hearing Officer
Division of Administrative Hearings 2009 Apalachee Parkway
Tallahassee, Florida 32301
(904) 488-9675
Filed with the Clerk of the Division of Administrative Hearings this 9th day of November, 1983
COPIES FURNISHED:
Dorman Kennedy Hicks 1041 N.W. 45th Street
Pompano Beach, Florida 33064
Susan E. Koch, Esquire Department of Insurance 413-B Larson Building Tallahassee, Florida 32301
Donald Dowdell, Esquire General Counsel
The Capitol, Plaza Level Department of Insurance Tallahassee, Florida 32301
Honorable William Gunter Insurance Commissioner and Treasurer
The Capitol, Plaza Level Tallahassee, Florida 32301
Docket for Case No: 83-002297
Orders for Case No: 83-002297
| Issue Date |
Document |
Summary |
|
Dec. 14, 1983 |
Agency Final Order
|
|
|
Nov. 09, 1983 |
Recommended Order
|
Insurance license should be revoked when lack of fitness or trustworthiness by making false or fraudulent statements relative to an insurance policy proven.
|
