Around the PIA Western Alliance States – Week of January 26, 2026

California — DOI & Insurance Fraud: Working to prevent fraud and support recovery, the California Department of Insurance released an update on consumer protection actions by its Investigation Division. Charged with investigating insurance fraud, unlicensed insurance activity, and misconduct by insurance agents, claims adjusters, and other licensed individuals and entities, the Department is the front-line defense for Californians in the nation’s largest insurance market. — both during disasters and in everyday insurance transactions.

“Our investigators work every day to hold insurance fraudsters and bad actors accountable, protecting consumers and ensuring integrity across California’s insurance marketplace,” said Insurance Commissioner Ricardo Lara. “Whether during disasters or in everyday insurance transactions, the Department of Insurance helps policyholders access their benefits and ensures they are protected when they need it most.”

Results That Protect Consumers

The Department’s investigative work protects consumers year-round, including during disasters when policyholders may be especially vulnerable. After disasters, investigators take action against any licensees who may be targeting victims. Following the Eaton Fire, a Department investigation into a bad acting licensed adjuster, resulted in a $10,000 fine, license surrender, and a 10-year industry ban. Investigators are out in the community after disasters, educating consumers about their rights and helping to deter potential fraud by those who prey on survivors.

During wildfire recovery efforts in Pacific Palisades, Topanga, and Malibu, investigators helped safely transport claims adjusters into restricted areas to expedite insurance payments to survivors, which today total over $22.4 billion. Over several operational days, adjusters from seven insurance companies accessed approximately 318 properties, advancing more than 160 insurance claims.

Beyond disaster response, the Department continues to stop fraud and protect consumers through both criminal and administrative actions, including:

Premium finance fraud: Prosecuted a former Northridge-based insurance agent sentenced to 50 months in federal prison for more than $3.7 million in fraudulent premiums.

Life insurance fraud: Dismantled a scheme involving former agents who allegedly misrepresented policy terms and falsified agent information to collect over $1.4 million in unearned commissions.

Unauthorized insurance activity: Issued cease and desist orders against an entity illegally operating as a health insurance company, and secured a $150,000 settlement with a licensed title company for illegal rebates and conflicts of interest.

90 Years of Enforcement and Consumer Protection

This year the Department of Insurance Investigation Division is recognizing 90 years of protecting consumers through criminal investigations, regulatory enforcement, and oversight of California’s insurance marketplace. The milestone not only reflects the Department’s long-standing enforcement work, but also serves as a reminder that the Department of Insurance is a resource for Californians who need help, have questions, or suspect insurance fraud.

As it enters its tenth decade, the Department’s Investigation Division continues its mission to protect consumers, stop fraud, and maintain the integrity of California’s insurance marketplace, building on 90 years of enforcement, oversight, and service to Californians statewide.

Consumers play a vital role in stopping fraud. Many high-impact investigations begin with tips from the public, which help the Department identify misconduct and hold bad actors accountable. Reporting suspected insurance fraud protects individual policyholders and strengthens the entire insurance marketplace. Consumers can report fraud or verify a license at www.insurance.ca.gov or by calling 1-800-927-4357.

Hawaii — FEMA Extends Help for Maui Wildfire Victims: Hawaii Governor Josh Green said the Federal Emergency Management Agency (FEMA) has extended housing assistance until February of 2027.

Over 1,000 families left homeless because of the 2023 wildfires were worried because the assistance was set to expire in February of this year.

“Recovery doesn’t follow an artificial deadline and I appreciate (FEMA head and) Secretary Noem and the administration for recognizing the reality families are still facing on the ground here in Hawaii,” Green said.

Source link: Insurance Journal — https://bit.ly/4qe34rC

Idaho — Middleton Man Sentenced for Insurance Fraud: The Idaho Department of Insurance announced that Spencer W. Jones of Middleton, Idaho, was sentenced for committing insurance fraud.

On September 19, 2025, Jones pleaded guilty to one felony count of insurance fraud for reinstating his auto insurance after a collision and filing a claim using a false date of loss. The Department’s Fraud Unit confirmed that the collision occurred prior to Jones reinstating his policy.

On December 1, 2025, the Ada County District Court sentenced Jones to:

Three years in prison, to run concurrent with an unrelated active sentence.

Payment of court costs, fines, and restitution.

“Fraud isn’t a victimless crime—it hurts our friends, families, and communities,” said Dean L. Cameron, Director of the Idaho Department of Insurance. “We will continue working with Idahoans to stop fraud and protect those who play by the rules.”

The Idaho Department of Insurance encourages anyone who suspects insurance fraud to report it at doi.idaho.gov or by calling (208) 334-4250.

Washington— Legislative Update from Brewer & Associates — PIA Washington lobbyist: The second full week of session marked the Legislature’s transition from mass bill introductions - 1,355 new bills were introduced in the first two weeks - to substantive policy debate and early committee action.

Several major proposals advanced from public hearing to executive session, while fiscal committees began turning their attention from the Governor’s budget to a growing slate of tax measures.

With the first policy cutoff deadline approaching on February 4th, the pace of activity accelerated noticeably across labor, legal, technology, insurance, and tax policy.

Read the full report here:  https://bit.ly/4pYJqiT