North Dakota Alleges Agent Fraud in Farm, Homeowners Insurance Sales

North Dakota Insurance Commissioner Adam Hamm has issued a cease and desist order against Patricia Howard, a Dunn Center insurance agent, who is alleged to have engaged in deceitful and dishonest practices against her insurance clients. The order bars Howard from engaging in the business of insurance.

Officials allege that in February, 2009 and September, 2008 Howard accepted money and applications from at least two insurance clients for farm liability and homeowners insurance but failed to send the documents to the insurance company, Nodak Mutual Insurance Co. The clients believed they had insurance coverage when in fact they did not. Howard is also alleged to have created a fake insurance binder document to make it appear as if the clients had coverage.

Hamm said officials are looking for other consumers who may have purchased insurance from Howard.

Howard has a right to request an administrative hearing on the cease and desist order.