La. Insurance Agent Arrested and Issued C&D Order

An Albany, La., insurance agent was recently arrested and issued a cease and desist order on charges of fraud, forgery and misappropriation of funds, the Louisiana Department of Insurance reported.

Roberta Ann Schaferkotter, age 63, surrendered to the State Police Insurance Fraud Unit at the Ascension Parish Jail in Donaldsonville where she was booked on five counts of forgery and two counts of insurance fraud. She was also ordered to cease and desist from engaging in the business of insurance and her insurance licenses were suspended by members of the Department of Insurance Fraud Section.

A joint investigation by the insurance department’s Fraud Section and the State Police Insurance Fraud Unit found that Schaferkotter allegedly failed to remit premiums and submitted fraudulent life insurance applications to her employer in order to obtain cash proceeds. It is alleged she bound fraudulent life insurance coverage for at least 31 clients without their knowledge, listing herself and her relatives as the beneficiaries. She is further alleged to have made loans against these fraudulent policies and received payment through their cash surrender.

Department of Insurance records show that Schaferkotter obtained a Property & Casualty license in October 1991 and a Life & Health license in May 1991, both of which were suspended by the current action.

Source: LDI