Mudslides: Heavy rains last week in California caused floods and mudslides around the state. The effect is called the Pineapple Express. Homes have been swept away and motorists got stranded in their vehicles.
More rain is predicted and with that — more flooding is expected.
Source link: Insurance Journal
Wildfire Starter Sentence to Prison
Brandon McGlover has pleaded guilty to starting nine fires in July of 2018. Those fires destroyed 13,000 acres, destroyed seven homes and caused 7,000 people to flee for their lives in Idyllwild, Anza and Sage, California.
He used a can of WD-40 and a lighter to set the fires.
McGlover was sentenced to 12-years and four-months in prison. He will be required to register as an arsonist for the rest of his life and will be required to pay restitution to his victims.
His victims were allowed to comment at his sentencing. One woman — whose husband died of a heart attack while they were fleeing — made an impassioned plea for a harsh sentence. Her statement was written since she was too upset to make it herself.
Others who lost everything in the fires made similar statements.
Source link: MSN
Cease and Desist Order
The California Department of Insurance (CDI) issued a Cease and Desist Order effective immediately upon NexGen Insurance Services, Inc., Riverstone Capital, LLC dba Riverstone Capital Insurance Services, LLC and its owner/operators Travis O. Bugli, James C. Kelly and Robert M. Clarke.
A joint investigation by CDI and the U.S. Department of Labor (DOL) revealed that NexGen and Riverstone have been operating as an unauthorized MEWA (Multiple Employer Welfare Association), an arrangement that offers or provides health and welfare benefits to employers and their employees.
The Cease and Desist Order alleges that NexGen and Riverstone were marketing, soliciting, and selling purported “self-insured” health plan arrangements to employers, not health insurance, in violation of California law. NexGen and Riverstone failed to pay medical provider claims totaling approximately $24 million dollars, exposing employers and their employees to risks and significant financial liabilities. The investigation revealed NexGen’s and Riverstone’s business practice of pooling and commingling contributions received from its employer clientele into its own corporate accounts.
“This company and its owners misrepresented their ability to pay medical claims, putting employers and their employees in immediate danger,” said Insurance Commissioner Ricardo Lara. “We took action to stop these illegal practices and ensure the safety of California workers and employers.”
Under CDI’s Cease and Desist Order, NexGen and Riverstone are to immediately stop operating any MEWA directly or indirectly or acting as an insurance agent, producer, insurer, or any other capacity in the State of California for which they do not hold a valid license, permit, or Certificate of Authority to do so. The companies are to immediately cease and desist from receiving any money, commission, fee, rebate, payment, remuneration, or any other valuable consideration whatsoever, directly or indirectly, in connection with any MEWA transactions.
Source link: California Department of Insurance