An insurance agent in Wisconsin has had his license revoked and ordered to pay nearly $800,000 in penalties and restitution after being found in violation of insurance laws in the state.
The former insurance agent, Barry Rumpel, may no longer work as an insurance agent in Wisconsin and has been ordered to pay $500,713.52 in financial penalties, including $298,372.74 in consumer restitution for insurance law violations, the Office of the Commissioner of Insurance reported.
Wisconsin Insurance Commissioner Mark Afable took action against Rumpel after it was determined that the former agent took unlawful loans from his clients and sold unsuitable life insurance and annuity policies to his customers. Some of the unsuitable sales were procured by misrepresenting the customers’ finances on insurance applications, insurance regulators said.
The final decision provides full restitution to consumers that purchased unsuitable insurance products and orders Rumpel to forfeit to the state twice his commissions for each unsuitable sale.
The OCI reported that while the agency releases a monthly report of actions it has taken against agents and insurers, the administrative action against Rumpel was notable for its size and complexity