DCBS Media ReleaseMarch 18, 2003 State orders company to stop selling insuranceSALEM - The Department of Consumer and Business Services (DCBS) has ordered a Canby company to stop selling medical malpractice insurance in Oregon without a license. DCBS issued a cease and desist order March 18 against First Actual American Insurance Co., which uses a Canby post office box as its address. The company has never been licensed in Oregon as an insurer. An investigation by the Insurance Division of DCBS found that First Actual American was offering to sell medical malpractice insurance through its Web site and through solicitations faxed to health care providers. The company claims it can provide coverage at 30-50 percent below rates charged by other insurers. Oregon Insurance Administrator Joel Ario said health care providers should make sure they're dealing with a licensed company before purchasing insurance. Rates that are far below those offered by other companies may indicate that an insurer is not licensed. To find out if an insurer is licensed in Oregon, check the Insurance Division's Web site, www.oregoninsurance.org, or call the division's Financial Regulation Section, 503-947-7982. The Mississippi Insurance Department also has issued a cease and desist order against First Actual American. |
