California Insurance Commissioner John Garamendi has announced that Gary Calcagno, 48, of Carlsbad, Calif., has been sentenced to three years probation and ordered to pay $13,460 restitution for stealing premiums from 20 clients.
Calcagno’s sentencing resulted from an investigation led by the California Department of Insurance’s (CDI) Investigation Division. A Farmers Insurance internal audit of his handling of insurance premiums had reportedly revealed that during a six-month period in 2003 Calcagno failed to remit insurance premiums to the company totaling $13,460.72. Calcagno worked for Farmers from May 24, 1994 to July 10, 2003.
In an additional case, another investigation by CDI reportedly showed that between December 2002 and July 2003, Calcagno sold homeowners insurance policies to six clients in San Diego and Riverside counties. He collected premiums totaling $5,528 from these clients, but failed to remit funds to Pacific Specialty Insurance Co.
In that case he was convicted on August 31, 2005 of three felony counts of Grand Theft. Prior to his sentencing, he had already paid $5,528 in restitution to the six victims. The San Diego County District Attorney’s Office, Insurance Fraud Division prosecuted that case.
The CDI urges consumers to contact their insurance company directly to verify the validity of their insurance policies. For more information, consumers can contact the CDI Consumer Hotline at (800) 927-HELP (4357) or visit the CDI Web site at www.insurance.ca.gov. Telecommunications Devices for the Deaf (TDD), please dial (800) 482-4833.
Topics California Agencies Fraud Agribusiness
Was this article valuable?
Here are more articles you may enjoy.
Catastrophe Bonds’ Huge Market Gains Put Reinsurers on Backfoot 
Alaska Airlines Vows IT Upgrades After Outage Forces 400 Flight Cancellations 
Old Republic to Acquire Small Farmowner Insurer Everett Cash Mutual 
The Hartford Q3 Net Income Up 41% 
