Former LA insurance broker convicted for stealing insurance premiums
News: 2016 Press Release
"McCloskey violated his clients' trust and left them at great financial risk when he stole their premiums and left them without coverage," said Insurance Commissioner Dave Jones. "My enforcement team will continue aggressively pursuing agents and brokers who break the law."
- McCloskey was convicted on two felony counts of Penal Code § 487(a) grand theft and one count of violating of Insurance Code § 1733 one count of violating of Insurance Code § 1733 for acting as an insurance agent or broker and receiving funds in his fiduciary capacity that was meant to be used as premium for an insurance policy. Any person who diverts or appropriates those fiduciary funds to his own use is guilty of theft and punishable for theft as provided by the law.
The California Department of Insurance, established in 1868, is the largest consumer protection agency in California. Insurers collect $310 billion in premiums annually in California. Since 2011 the California Department of Insurance received more than 1,000,000 calls from consumers and helped recover over $469 million in claims and premiums. Please visit the Department of Insurance website at www.insurance.ca.gov. Non-media inquiries should be directed to the Consumer Hotline at 800.927.4357. Telecommunications Devices for the Deaf (TDD), please dial 800.482.4833.