N.C. Commissioner Demands Certified Statements on Bid Rigging
Southeast News • October 28, 2004
Jim Long
A "demand to produce information" has been issued by the North Carolina Department of Insurance in an effort to closely scrutinize the records and practices of more ...
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Subject: Another Ploy by Mr. Long fto Obtain Media Attention
Posted On: October 29, 2004, 1:23 pm CDT
Posted By: Barry E. Seay
Comment:
First, in North Carolina an insurance broker represents his client. The client relies on the professional services to locate the best coverage and price within the given time constraint. The broker does not represent the insurance company. An E&S Lines Agent represents the non-admitted carrier or group. The E&S Lines Brokerage does not have any obligation to reveal their lowest price or its compensation to the client's broker. I would recommend, since these recent events, the broker to reveal his compensation to his client. Mr. Long maintains a "White List" of non-admitted companies who meet the NCDOI requirements. The majority of E&S Lines Agents follow his recommendations. And, the brokers desire compliants for potential E&O concerns. Is Mr. Long steering for publishing a "White List"?
Secondly, Mr. Long is a Lawyer. He knows, only an idiot would answer "yes" on his questionaire. To do so, would be an act of self-incrimination and a violation of a person's 5th amendment rights. Any decent attorney would not let their client sign it. Refusing to sign it, would be interpreted as guilt by NCDOI and an immediate audit would pursue. We do not know the magnitude or the scope of this problem. To sign this questionaire could lead to fraud charges. Fraud charges could be filed should any irregularity be found regardless how minor the item. Refusal to sign the questionaire should not be seen as admission of guilt. It should be seen as protection of one's rights.
Third, Mr. Long is a 20-year incumbent as Insurance Commissioner. He has used every opportunity to exploit the powers of his office for his person gain. This year is the fourth election Mr. Long has ordered auto insurance refunds. The majority of the $1.2 billion will be refunded to North Carolina's worst drivers. The consumer could have received these monies earlier. However, earlier payments would not serve his purpose. It is best for his concerns for October of election year. Many agents are being forced to repay the nearly $120 Million of unearned commissions to the carriers. The agents do not have the means to track the excess charges and retain the unearned commissions in an escow account.
Fourth, Mr. Robert Brawley is a more competent person to lead the department. Many professional groups have endorsed him over Mr. Long. As stated in Mr. Brawley's website, "North Carolina needs a work horse, not a show horse. It takes a work horse to pull the wagon in the right direction."
Fifth, Mr. Long has not disclosed Promissor's problems of failing licensees on their License Exams. He has delegated it to Promissor. Over 500 people have been affected. And, Promissor has been paying clients $5,000 each to make it go away.
In closing, North Carolinians would be better served by Mr. Brawley. It can come true on November 2nd.
Subject: Another Ploy by Mr. Long fto Obtain Media Attention
Secondly, Mr. Long is a Lawyer. He knows, only an idiot would answer "yes" on his questionaire. To do so, would be an act of self-incrimination and a violation of a person's 5th amendment rights. Any decent attorney would not let their client sign it. Refusing to sign it, would be interpreted as guilt by NCDOI and an immediate audit would pursue. We do not know the magnitude or the scope of this problem. To sign this questionaire could lead to fraud charges. Fraud charges could be filed should any irregularity be found regardless how minor the item. Refusal to sign the questionaire should not be seen as admission of guilt. It should be seen as protection of one's rights.
Third, Mr. Long is a 20-year incumbent as Insurance Commissioner. He has used every opportunity to exploit the powers of his office for his person gain. This year is the fourth election Mr. Long has ordered auto insurance refunds. The majority of the $1.2 billion will be refunded to North Carolina's worst drivers. The consumer could have received these monies earlier. However, earlier payments would not serve his purpose. It is best for his concerns for October of election year. Many agents are being forced to repay the nearly $120 Million of unearned commissions to the carriers. The agents do not have the means to track the excess charges and retain the unearned commissions in an escow account.
Fourth, Mr. Robert Brawley is a more competent person to lead the department. Many professional groups have endorsed him over Mr. Long. As stated in Mr. Brawley's website, "North Carolina needs a work horse, not a show horse. It takes a work horse to pull the wagon in the right direction."
Fifth, Mr. Long has not disclosed Promissor's problems of failing licensees on their License Exams. He has delegated it to Promissor. Over 500 people have been affected. And, Promissor has been paying clients $5,000 each to make it go away.
In closing, North Carolinians would be better served by Mr. Brawley. It can come true on November 2nd.