New cyber risk targets small businesses

News

Florida Insurance Broker Admits Guilt in $6M Fraud Scheme

Miami Lakes, FL – Heleonel Gonzalez, a 48-year-old insurance broker and owner of Sharp Insurance Agency, has pleaded guilty to orchestrating a $6 million fraud scheme that exploited the Peach State Federal Credit Union’s P1 Finance division. This division specializes in providing loans to commercial entities, such as condominium associations, to cover property and casualty insurance premiums. According to the U.S. Attorney’s Office in Atlanta, the scheme ran from January 2023 to January 2024 and relied on a pattern of deception. Gonzalez falsely claimed that Sharp Insurance Agency clients authorized him to apply for premium-financing loans on their behalf. To solidify his fraudulent activities, Gonzalez submitted fabricated Premium Finance Agreements and Disclosure Statements, misrepresenting that policies had been issued through Citizens Property Insurance Corporation. Fraudulent Use of Loan Funds Instead of allocating the $6 million loan proceeds to cover insurance premiums as required, Gonzalez diverted the funds for personal debts and expenses. Federal prosecutors emphasized that Gonzalez knowingly made false statements to influence the actions of Peach State’s P1 Finance. Legal Consequences Gonzalez has agreed to a plea deal that includes at least $3.5 million in restitution and the forfeiture of a Park City, Utah home valued at $749,000. Sentencing is scheduled for February 2025. Industry Impact and Lessons Learned This case serves as a stark reminder of the vulnerabilities that exist in premium financing systems and highlights the need for rigorous internal controls. Fraud of this magnitude damages trust within the industry, emphasizing the importance of transparency and accountability. At Skyscraper Insurance, integrity is paramount. We’re committed to safeguarding our clients by upholding ethical practices and fostering trust in every transaction.

Careers

Shaping the Future of Insurance: Guiding the Next Generation

The insurance industry, often perceived as a safety net, plays a much larger role. It fosters progress and innovation, driving sustainable growth for businesses, individuals, and communities. This success begins with nurturing talent. Attracting, developing, and retaining the brightest minds is essential to sustain the industry. It’s not just a strategy—it’s a shared responsibility to inspire the next generation to redefine the future of insurance. Building Bridges with Tomorrow’s LeadersOrganizations like Gamma Iota Sigma connect students with professionals, showing them that insurance is more than risk assessment. Leaders from diverse fields, such as data analytics, technology, and traditional actuarial sciences, can guide students toward fulfilling careers in this dynamic sector. Ways to Lead the Charge: In-House Initiatives to Empower TalentInsurers can also develop internal programs, such as Travelers EDGE. This initiative partners with schools and organizations to provide scholarships, internships, and career preparation resources. Since 2007, it has enabled over 340 students to earn bachelor’s degrees, creating a robust talent pipeline for Travelers and the broader industry. Committing to a Brighter FutureTo ensure our field thrives, we must commit to mentoring and supporting the next generation. By engaging with initiatives like Gamma Iota Sigma, we can solidify insurance’s dual role as both a safety net and a catalyst for progress. Let’s Lead Together.#WeShareYourVisionForABetterTomorrow

New cyber risk targets small businesses