2 Comments to “How long does it take for insurance fraud to be investigated- like if an insurance agent commits the fraud?”

1. mbrcatz says:

   March 13, 2010 at 2:29 pm

   It can take years, the actual investigation.

   Once convicted, the license gets revoked within 30 days.
2. OneManWrites says:

   March 13, 2010 at 5:15 pm

   An investigation takes as long as it takes to gather all information needed to conclude the investigation. In this case, with an agent’s license on the line, that may be however long it takes to gather and evaluate all information needed to make a decision on whether that license should be revoked.

   Licenses are issued by the state wherein the agent operates so revocation of the license would be something the state’s dept. of insurance would handle. However, no insurance company would want to continue to be represented by an agent if they have committed something that could result in revocation.

   The idea that “once convicted, the license get revoked within 30 days” is curious. If that sentence were true as written, then despite a conviction, the agent could continue to operate – sell insurance, bind policies, submit applications for insurance, etc. – for as much as 29 days. If an agent were actually convicted, the revocation would be immediate. However, a conviction comes as the result of a trial for a civil or criminal offense. Revocation of a license does not require an actual trial and can happen as the result of many things besides fraud – failing to maintain continuing education hours, repeated and consistent dept. of insurance complaints, etc.

   Since what constitutes fraud involves, among other things, willful intent, it is not something that is obvious nor easy to investigate.