the CFO's press release below reminds us of the seriousness of checking any entity we are considering doing business with:

FOR IMMEDIATE RELEASE: August 26, 2009

CONTACT: Kyra Jennings or Nina Banister, (850) 413-2842

CFO SINK SHUTS DOWN COMPANIES FOR SELLING UNAUTHORIZED HEALTH INSURANCE

Action Underscores Need for Consumers to Verify Before They Buy

TALLAHASSEE—Florida CFO Alex Sink announced today that she has filed an Immediate Final Order (IFO) against Depawix Health Resources, Inc., Peck & Peck, Inc. (also known as Green Cross Managed Health System), and Smart Service, Inc. for soliciting and selling unauthorized health insurance in Florida. It is suspected that nearly 300 Floridians may have bought coverage from these Georgia-based entities. An investigation by CFO Sink’s Division of Agent and Agency Services revealed that the insurance was sold by both licensed and unlicensed individuals.

“Unauthorized health insurance can lead to serious financial hardship for Floridians, which is why Florida’s licensed agents should be vigilant about protecting consumers from this type of scam,” said CFO Sink. “We will take the most aggressive action possible against anyone who sold these unauthorized products and put Floridians at risk.”

Licensed insurers have met Florida’s stringent statutory financial requirements for licensure, and policyholders are protected by the Florida Life and Health Guaranty Association Act should a licensed insurer become insolvent. Unauthorized insurance does not offer these protections. Unauthorized insurance, particularly unauthorized health insurance, can lead to significant unpaid claims and out-of-pocket costs for victims. Agents or individuals who sell unauthorized insurance not only could lose their license but also could be required to pay all unpaid claims and could face felony charges.

CFO Sink has an ongoing campaign to warn consumers to “Verify Before You Buy,” offering easy-to-use links on her web site for consumers to check if a company or agent is licensed in Florida. Consumers and agents can verify licensure by going to www.MyFloridaCFO.com. Complaints about suspected unauthorized insurance can be reported on the web site or by calling 1-850-413-3089 or toll-free at 1-877-My-FL-CFO.

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As a statewide elected officer of the Florida Cabinet, CFO Alex Sink oversees the Department of Financial Services. A successful businesswoman with nearly three decades of experience in the private sector, Sink is serving her first term as Florida's CFO. As CFO, Sink's priorities include using her business experience to cut wasteful government spending, cracking down on financial and insurance fraud and reforming the state government's contracting practices.