Insurance Commissioner: Centralia agent failed to remit customer premiums

By Sharyn L. Decker
Lewis County Sirens news reporter

The license for a Centralia insurance agent has been revoked after an audit revealed that he misappropriated nearly $30,000 in consumers’ premium payments, according to the Washington state Office of the Insurance Commissioner.

Insurance Commissioner Mike Kreidler announced the enforcement action against Matthew G. Gingerich earlier this month. It took effect on Feb. 22.

Gingerich was fired from employment with American Family Insurance following an internal audit, according to the state agency. His business address was on the 1100 block of Harrison Avenue in Centralia.

He was licensed for property, casualty, life and disability insurance in this state beginning in October 2008.

The OIC states that Gingerich put the consumers’ insurance accounts in a hold status so they would not receive a notice that their policies were canceled for nonpayment. As of February, Gingerich had not yet repaid the money, according to OIC.

The order revoking his license states that Gingerich also submitted homeowner policies to the insurer with no down payments, transferred money from his premium trust account into his business account and provided false bank statements to the auditor.

American Family was able to correct the policies of all but one affected consumer, whom they could not identify.

The Feb. 12 order indicates OIC began its investigation after receiving notice April 24, 2014 that American Family terminated Gingerich for cause. Gingerich’s license expired at the end of 2014 and he did not renew it.

An OIC spokesperson indicated any criminal proceedings would be separate.

“We referred the case to our special investigation unit, they have the case,” spokesperson Kara Klotz said today. “We can’t say much other than it was referred to them and they are looking into it.”

Kreidler’s office oversees Washington’s insurance industry to ensure that companies, agents and brokers follow state laws. They have the option of handling violations with probation, suspension, refusal to renew or revocation. They also issue fines.

Last year, the office revoked the licenses of 60 insurance agents and brokers.

If Gingerich disagrees with the revocation, he may demand a hearing within 90 days from the date of the order. Attempts to contact Gingerich for comment were unsuccessful.

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3 Responses to “Insurance Commissioner: Centralia agent failed to remit customer premiums”

  1. Pea body slim. says:

    No jail time. Good grief. Must of been a banker bail out.

  2. ak says:

    Perhaps this was the problem I had with my insurance the first six months after I purchased my house… hmm

  3. Barbara says:

    I wondered why all of a sudden I got transferred to another office. Recently I was transferred back to Matt’s old office under a new person. I was not notified that I was one of the accounts he messed with – does that mean I wasn’t or that they didn’t bother to tell me? I have my auto and home owners with them.