Louisiana Issues C&D Order to Baton Rouge Producer

Investigators from the Office of Insurance Fraud at the Louisiana Department of Insurance (LDI) issued resident producer Houston Thomas and Thomas Mutual Insurance Group a Cease-and-Desist Order and Notice of Summary Suspension on October 10, 2022, for failing to remit premiums and demonstrating incompetence, untrustworthiness and financial irresponsibility in a manner that might endanger the public.

The LDI received information from an insurer indicating that 14 prospective policyholders made payments to Baton Rouge-based Houston Thomas or Thomas Mutual Insurance Group that were not then remitted to the insurer, which caused the policies to be canceled for non-payment. The LDI also received three complaints from consumers related to the cancellation of their insurance coverages through Houston Thomas and Thomas Mutual Insurance Group.

LDI issued a producer license to Houston Thomas on September 27, 2016, and to Thomas Mutual Insurance Group on December 7, 2020, for the lines of Life, Accident and Health or Sickness, Property, and Casualty. Both licenses were active at the time of the October 10 action.

LDI Insurance Fraud investigators conducted a site check of Thomas Mutual Insurance Group on October 24 and found the summary suspension order was being properly followed.

Anyone who has conducted insurance business with Houston Thomas or Thomas Mutual Insurance Group is encouraged to contact their insurance carrier to ensure they have legitimate coverages in place.

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