North Dakota Insurance Commissioner Jon Godfread has issued a cease-and-desist order against three companies for distributing deceptive materials to North Dakota consumers.
The documents sent replicated an Internal Revenue Service (IRS) tax form requesting recipients to provide personal information. The information collected would be sold to insurance agents to solicit potential clients.
Cease-and-desist orders were sent on June 19 to Georgia-based RGI Data Assets, Inc., Direct Mail Processing, LLC, and Delaware-based Mail Pro Leads, LLC for sending deceptive materials to over 1,300 North Dakotans.
The deceptive materials conveyed a sense of urgency to recipients by stating, “OPEN IMMEDIATELY” and “TIME SENSITIVE.” The mailing does not list a specific insurance company and requests the materials be returned to Direct Mail Processing.
“Deceptive marketing meant to mislead consumers into providing personal information has no place in North Dakota,” said Godfread. “I encourage everyone to remain vigilant when receiving materials requesting personal information. If it seems suspicious, always verify it’s from a trusted source.”
The solicitation of insurance products requires a North Dakota insurance producer license, which none of the named companies have. Additionally, all companies named in the cease-and-desist are not registered to operate in the state by the North Dakota Secretary of State.
Source: North Dakota Insurance Department
Was this article valuable?
Here are more articles you may enjoy.
Microsoft Tells Texas Agencies They Were Exposed in Russian Hack 
US P/C Insurers Post Best Q1 Underwriting Result In 17 Years 
US Roof Maintenance Lags: Hanover 
US Home Insurance Still Priced Too Low for Climate Risk, Says Swiss Re Chair 
