Insurance Agent 's Records are Seized and Insurance License Suspended for Alleged
Falsifying of License Applications and Misappropriation of Premiums
Lafayette- A Lafayette insurance agent's records were seized and her insurance license
suspended today for alleged misappropriation of funds and falsifying insurance records,
said Acting Insurance Commissioner J. Robert Wooley.
Phyllis Malveaux Breaux, 38, business address, 612 Surrey Street, Lafayette, is
accused of participating in a number of cases of insurance fraud. Louisiana State
Police West District detectives from Lafayette and members of the State Police Insurance
Fraud Unit executed the search warrant. Office records were seized to assist with
determining misappropriation claims. In conjunction with this action, Louisiana
Department of Insurance fraud investigation officials served Ms. Breaux with a Summary
Suspension of her license and a Cease and Desist Order forbidding her from conducting
any activity involving the business of insurance.
Ms. Breaux is alleged to have accepted cash payment from clients, then failing to
forward those payments to the insurance company. She also allegedly made false statements
to the Department of Insurance on two separate license applications. The investigation
leading to today's action was a cooperative effort of the Department of Insurance
and Louisiana State Police, Acting Commissioner Wooley said.
"The investigation is continuing in this case," said Wooley. Policyholders
who have insurance with Ms. Breaux are urged to check with the insurance company
right away. "Policyholders should find a toll-free number for the company listed
on the face of the insurance policy," Wooley said.
Ms. Breaux had held a property & casualty insurance license since April of 1994.
Anyone who has problems contacting the insurance company or still has questions
about insurance coverage after talking with the company should call the Louisiana
Department of Insurance, toll-free, at 1-800-259-5300, for help in determining whether
they really have the insurance they paid for, Wooley said. Department phones are
staffed from 8 to 6 weekdays.
Wooley said today's actions are part of a sweep being made around the state.
"Insurance Fraud is a huge problem in Louisiana. Claims fraud alone in our
state is estimated at $2.3 billion a year," said Wooley. "And that does
not even include agent fraud," he said. He also noted that most agents are
honest and hard working.