DCBS Media Release
January 13, 2000
State revokes Portland insurance agent's licenses
SALEM – The Department of Consumer and Business Services (DCBS) has revoked the individual and corporate insurance agent licenses of a Portland man for defrauding an insurer and other violations of the Oregon Insurance Code. Eugene P. Hamilton also was fined $2,000 and his agency, AA Associates Insurance Agency, was fined $1,000.
The case involved an 18-year-old woman who leased a car from a Gladstone car dealer on Saturday, July 12, 1997. Because she didn't have enough money for the down payment and insurance, the dealer agreed to pay her first month's insurance and telephoned Hamilton to arrange coverage. The woman caused a three-car injury accident the following day, totaling her car. Progressive Insurance Co. paid out more than $18,000 for losses sustained in the accident.
An investigation by the Insurance Division of DCBS found that Hamilton hadn't arranged coverage until July 14, so he backdated the application to make it appear the policy was in effect when the accident occurred. He convinced the woman to tell Progressive that she had personally met with him at the dealership on July 12 and signed an insurance application.
Hamilton was fined $2,000 for failing to properly respond to the division's requests for information.
In light of Hamilton's violations of the Insurance Code, the division also revoked the corporate insurance agent license of AA Associates Insurance Agency. Hamilton was the sole owner and operator of the agency, which also was fined $1,000 for failing to timely notify the division of a name change and failing to timely notify the division when it affiliated or terminated several agents.