Now 25 2008 15:08 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + S584o7r4ogr Nov. 25 2668 83:18PM Ps ~ ~ FILED Hct 23 woe . S32 REPTRER TING ALEX SINK CHLEF FINANCIAL OFFICER STATE OF FLORIDA IN THE MATTER OF; HEIDI MARIA RUJOS-CHERP CASE NO: 95562-08-AG ADMINISTRATIVE COMPLAINT TO: HEIDI MARIA RIJO8-CHERP 2455 East Sunrise Boulevard #618 Ft, Lauderdale, Florida 33304 Orrin R. Beilly, Esq. Law Office of Orrin R. Beilly, PA. Citizens Building, Suile 705 105 South Narcissus Avenue West Palm Beach, Florida 33401 You, HETDI MARTA RIJOS-CHERP, license I.D. #A220510, are hereby notified that the Chief Financial Officer of the State of Florida has caused to be made an investigation of your activities while licensed as an insurance agent in this state, as a result of which it is alleged: GENERAL ALLEGATIONS 1. Pursuant to chapter 626, Florida Statutes, you, HETDI MARIA RIJOS-CLERP, are currently licensed in this state as a 2-15 Life Including Variable Annuity and Health Agent, a 2-18 Life and Health Agent, and a 2-20 General Lincs (Property and Casually) Agent. 2. At all times pertinent to the dates and occurrences referred to herein, you, EID MARIA RIJOS-CHERP, were licensed in this slate as an insurance agent, license number Now 25 2008 15:08 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Nov. 25 2665 83:18PM P4 A220510, 3, AL all titnes material hereto, you, HEIDI MARIA RIJOS-CHERP, were the agent- in-charge of an insurance agency known'as L/G of llorida, Inc., located at 2455 East Sunrise Boulevard, #618, Ft. Lauderdale, Florida 33304 (“E/G Insurance”). 4. Pursuant to Chapter 626, Florida Statutes, the Florida Department of Financial Services (“Department”) has jurisdiction over your insurance licenses and appointments. COUNT I 3, The above General Allegations are realleged and incorporated herein by reference, 6. On or about December 12, 2004, you, HETDI MARIA RIJOS-CHIRP, assisted Rochelle Massinello in obtaining new insurance coverage for her home through Citizens Property Insurance Corporation (“Citizens”). Ms. Massinello previously had homeowner's insurance through United States Fidelity and Guaranty Company (“USF&G”). 7. Although the policy was taken out in Ms. Massinello’s name, it was paid for by Francis Flaherty, a private lender who mortgaged Ms. Massinello’s home. Mr. Flaherty was later reimbursed by Ms. Massinello for the premium, an arrangement which caused Ms. Massinello to pay to Mr. Flaherty approximately three times the premium price. 8. You, HEIDI! MARIA RIJOS-CHERP, never met, spoke to, or otherwise communicated with Ms. Massinello during the application process. 9. Ms. Massinello never reviewed, initialed, or signed the insurance application, which is signed by you, HEIDI MARIA RIJOS-CHERP, 10. On April 5, 2005, United Property & Casualty Insurance Company (“UP&C”) assumed Ms. Massinello’s Citizen’s policy. Now 25 2008 15:08 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Nov. 25 2865 83:18PM PS ll. In October 2005, Ms. Massinello’s home caught fire and she filed a claim with UP&C. 12. After filing the claim, Ms. Massinello was informed that she did not have homeowner’s insurance, but rather a dwelling fire policy. 13, Upon viewing the original Citizen’s application, Ms. Massinello discovered that the initials and signature on the application purported to be hers were, in fact, not and subsequently filed a police report. 14. Because she did not sign the application, Ms. Massinello’s fire claim was denied and her UP&C policy voided ab initio. 15, You, HETDT MARIA RIJOS-CHERP, knew, or should have known, that Ms. Massinello desired a homeowner's insurance policy and that a dwelling fire policy did not suit her insurance needs, 16. Alternatively, you, HEIDI MARIA RIJOS-CHERP, knew, or should have known, that the circumstances of the arrangement between Ms, Massinello and Mr. Flaherty made it critical to communicate with the homeowner, and, had you communicated with her, you would have provided her the insurance to which she was entitled. IT IS THEREFORE CHARGED that you, HEIDI MARIA RITOS-CHERP, have violated of ate accountable under one or more of the following provisions of the Florida Statutes or Florida Administrative Code, which constitute grounds for the suspension or revocation of your licenses as a Florida insurance agent: (a) Demonstrated lack of fitness or trustworthiness to cngage in the business of insurance. [Section 626.611(7), Florida Statutes]; (b) Demonstrated lack of reasonably adequate knowledge and technical competence to engage in the transactions authorized by the license or appointment. [Section 626.611(8), Now 25 2008 15:09 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Nov. 25 2865 83:19PM Pe Florida Statutes]; (c) Engaged in fraudulent or dishonest practices in the conduct of business under the license or appointment, [Section 626.6] 1(9), Florida Statutes]. COUNT H 17, The above General Allegations are realleged and incorporated herein by reference. 18. On or about May 31, 2006, Erasmo and Gloria Rodriguez purchased a home, financed through Gulf Atlantic Funding Group, Inc. (“Gulf Atlantic”). 19. On or about May 31, 2006, you, HEIDI MARTA RITOS-CHERP, prepared and transmitted to Gulf Atlantic a fax that quoted premiums for homeowner's and flood insurance policies for Mr. and Mrs. Rodriguez through Citizens Property Insurance Corporation (“Citizens”) and Selective Life Insurance Group, respectively. 20, You, HEIDI MARIA RIJOS-CHERP, never met, spoke to, or otherwise communicated with Mr. or Mrs. Rodriguez during the application process. 21. Mr. and Mrs. Rodriguez, never reviewed, initialed, or signed the Citizens insurance application, which is signed by you, HEIDI MARIA RIJOS-CHERP. 22. Upon review of the Citizens application, Mrs. Rodriguez discovered that the initials and signature on the application purported to be hers were, in fact, not. Mrs. Rodriguez also discovered that the application contained numerous factual errors, such as the occupations, birthdates, and Social Security numbers of the applicants. 23. In addition, upon review of the application, it was discovered that the Rodriguez, home was significantly underinsured, 24. You, HEIDI MARIA RJJOS-CHERP, knew, or should have known, that the Now 25 2008 15:09 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Nov. 25 2865 83:19PM Pr premiums you quoted to Mr. and Mrs. Rodriguez were too low to adequately insure the home, that the low premium quotes you provided would induce Mr, and Mrs. Rodriguez to purchase their insurance policy through you, and that the applicalion contained errors that would alter premium and coverage amounts. Ir 18 THEREFORE CHARGED that you, HEIDI MARIA RIJOS-CHERP, have violated or ate accountable under one or more of the following provisions of the Florida Statutes or Florida Administrative Code, which constitute grounds for the suspension or revocation of your licenses as a Florida insurance agent: (a) Rngaged in willful misrepresentation of an insurance policy or willful deception with regard to the policy. [Section 626.611(5), Florida Statutes]; (b) Demonstrated lack of fitness or trustworthiness to engage in the business of insurance, [Section 626,61 1(7), Florida Statutes]; (c) Demonstrated lack of reasonably adequate knowledge and technical competence to engage in the transactions authorized by the license or appointment. [Section 626.611(8), Florida Statutes]; (d) Engaged in fraudulent or dishonest practices in the conduct of business under the license or appointment. [Section 626.61 1(9), Florida Statutes]; (e) Tn the conduet of business under the appointment, engaged in unfair or deceptive acts or practices, or otherwise showed yourself to be a source of injury or loss to the public. [Section 626.621(6), Florida Statutes]; (eh) Knowingly made a. false or fraudulent statement or representation on an application for an insurance policy for the purpose of obtaining a fee, commission, or other benofit. [Section 626.9541(1)(k)(1), Florida Statutes). COUNT Il 25. The above General Allegations arc realleged and incorporated herein by Now 25 2008 15:09 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Nov. 25 2865 83:19PM Pe reference, 26, In July 2004, you, HEIDI MARIA RIJOS-CHERP, prepared a quote for rental property insurance for Brad Gatven. 27. Upon receipt of the property appraisal, you, HEIDI MARIA RIJOS-CHERP, prepared an application for dwelling fire insurance through Citizens Property Insurance Corporation (“Citizens”). The appraisal stated that the property was a “four-plex” constructed in 1955. | 28. ‘The application contained significant errors, including a representation that the property was constructed in 1984 and an incorrect mailing address for Mr. Garven. 29. Additionally, the Citizens policy was not effective until September 8, 2004, which was nearly two weeks after Mr. Garven closed on the propetty. 30, As a result of the errors in the application, Mr. Garven later learned that his property was underinsured and incurred premium increases and the threat of force placed coverage if he did not increase his coverage. He also learned that the premium increases were due in part to the previously-undisclosed age of the property. 31. You, HEIDI MARTA RIJOS-CHERP, knew, or should have known, that the Citizens application contained incorrect information, that the incorrect information would cause Mr. Garven to incur a lesser premium payment and thereby induce him to accept your quote, and. that his premium payments would increase upon discovery of the errors during the underwriting process, IT IS THEREFORE CHARGED that you, HEIDI MARTA RIJOS-CHERP, have violated or are accountable under one or more of the following provisions of the Florida Statutes or Florida Administrative Code, which constitute grounds for the suspension or revocation of your Now 25 2008 15:10 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Nov. 25 2865 83:28PM Po licenses as a Florida insurance agent: (a) Engaged in willful misrepresentation of an insurance policy or willful deception with regard to the policy. [Section 626.611(5), Florida Statutes]; (b) Demonstrated lack of fitness or trustworthiness to engage in the business of insurance. [Section 626.611(7), Florida Statutes]; (c) Demonstrated Jack of reasonably adequate knowledge and technical competence to engage in the transactions authorized by the license or appointment. |Section 626.611(8), Florida Statutes |; (d) Engaged in fraudulent or dishonest practices in the conduct of business under the license or appointment. [Section 626.611(9), Florida Statutes]; (e) In the conduct of business under the appointment, cngaged in unfair or deceptive acts or practices, or otherwise showed yourself to be a source of injury or loss to the public. [Section 626.621(6), Florida Statutes]; (f) Knowingly made a false or fraudulent slatement or representation on an application for an insurance policy for the purpose of obtaining a fee, commission, or other benefit. [Section 626.9541(1)(k)(1), Florida Statutes]. WHEREFORE, you, HEIDI MARIA RIJOS-CHERP, are hereby notified that the Chicf Financial Officer intends to enter an Order suspending or revoking your licenses and appointments as an insurance agent or to impose such penalties as may be provided under the provisions of Sections 626.611, 626.621, 626.681, 626.691, 626.692, and 626.9521, Florida Statutes, and under the other referonced Sections of the Florida Statutes as set out in this Administrative Complaint. NOTICE OF RIGHTS You have the right to request a proceeding to contest this action by the Department Now 25 2008 15:10 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Nov. 25 2885 83:28PM Pla pursuant to Sections 120.569 and 120.57, Florida Statutes, and Rule 28-106, Florida Administrative Code. The proceeding request must be in writing, signed by you, and must be filed with the Department within twenty-one (21) days of your receipt of this notice. Completion of the attached Election of Proceeding form and/or a petition for administrative hearing will suffice as a wrillen request. The request must be filed with the General Counsel acting as Agency Clerk, at the Florida Department of T'inancial Services, 612 Larson Building, 200 East Gaines Street, Tallahassee, llorida 32399-0333, Your written response must be received by the Department no later than 5:00 p.m. on the twenty-first day after your receipt of this notice. Mailing the response on the twenty-first day will not preserve your right to a hearing. YOUR FAILURE TO RESPOND IN WRITING WITHIN TWENTY-ONE (21) DAYS OF YOUR RECEIPT OF THIS NOTICE WILL CONSTITUTE A WATVER OF YOUR RIGHT TO REQUEST A PROCEEDING ON THE MATTERS ALLEGED HEREIN AND AN ORDER OF SUSPENSION OR REVOCATION WILL RE ENTERED AGAINST YOU. If you request a proceeding, you must provide information that complies with the requirements of Rule 28-106.2015, Florida Administrative Code. As noted above, completion of the attached Election of Proceeding form conforms to these requirements. Specifically, your ‘response must contain: (a) The name, address, and telephone number, and facsimile number (if any) of the respondent (for the purpose of requesting a hearing in this maiter, you are the "respondent"). (b) The name, address, telephone number, facsimile number of the attorney or qualified representative of the respondent (if any) upon whom service of pleadings and other papers shall be made. (c) A statement requesting an administrative hearing identifying those material facts that are in dispute. If there arc none, the petition musi so indicate. (a) A statement of when’ the respondent received notice of the administrative Now 25 2008 15:10 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Nov. 25 2688 @3:28PM Pil complaint. (e) A statement including the file number to the administrative complaint, If a hearing of any type is requested, you have the right to be represented by counsel or other qualified representative at your expense, to present evidence and argument, to call and cross-examine witnesses, and to compel the attendance of witnesses and the production of documents by subpoena. If a proceeding is requested and there is no dispute of material fact, the provisions of Section 120.57(2), Florida Statutes, apply. In this regard, you may submit oral or written evidence in opposition to the action taken by the Department or a written statement challenging the grounds upon which the Department has relied. While a hearing is normally not required in the absence of a dispute of fact, if you feel that a hearing is necessary, one will be conducted in Tallahassee, Florida, or by telephonic conference call upon your request. However, if you dispute material facts which are the basis for the Department's action, you must request an adversarial proceeding pursuant to Sections 120.569 and 120.37(1), Florida Statutes. ‘These proceedings are held before a State Administrative Law Judge of the Division of Administrative Hearings. Unless the majorily of witnesses are located elsewhere, the Department will request that the hearing be conducted in Tallahassee, T'lorida. Failure to follow the procedure outlined with regard to your response to this notice may result in the request being denied. All prior oral communication or correspondence in this matter shall be considered freeform agency action, and no such oral communication or correspondence shall operate as a valid request for an administrative proceeding. Any request for an administrative proceeding received prior to the date of this notice shal] be deemed abandoned unless timely renewed in compliance with the guidelines as set out above. Now 25 2008 15:11 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + 85845749? Nov. 25 2865 83:21PM Pl2 Mediation of this matter pursuant to Section 120.573, Mlorida Statutes, is not available. No Department attorney will discuss this matter with you until the response has becn received by the Department, 7 . z __. DATED and SIGNED ti ed. day of Ae , 2008. Deputy Chicf Financial Officer Now 25 2008 15:11 FROM :DEPT OF FINANCIAL SERVICES FAX NO. + S584o7r4ogr Nov. 25 2668 83:21PM Pls CERTIFICATE OF SERVICE I HEREBY CERTIFY that a true and correct copy of the foregoing ADMINISTRATIVE COMPLAINT and ELECTION OF PROCEEDING has been furnished by Certified Mail to: IIEIDI MARIA RIJOS-CLERP, 2455 East Sunrise Boulevard #618, Fl. Lauderdale, Florida 33304; Orrin R. Beilly, Esq., Law Office of Orrin R. Beilly, P.A., Citizens Building, Suite 705, 105 South Narcissus Avenue, West Palm Beach, Florida 33401 this #9 day of etre BF IZ. » 2008. Rébyn Blank Jackson Senior Attorney Department of Financial Services Division of Legal Services 612 Larson Building Tallahassee, Florida 32399-0333

Docket for Case No: 08-005924PL