Intersting reading and my analysis on a report about my old company

by Peter Marus

I was looking for a piece of information on my old employer and came across this:

http://www.dfs.ny.gov/insurance/exam_rpt/10839f08.pdf

It’s an interesting read, seeing how the company worked and still works.  I can talk about it, it was online and made publicly available (I found it on Google).  I also never signed anything that said I can't speak about the company.  Although this came out a year a go and is based on 2008 info, it’s still ran as shoddy and and shady today.  Some of the highlights of it is:

-In the data they had been provided, the company was almost $5 million in the hole

-The board is all related to each other, and it's almost incestuous if you look at it and how the entire board lives in one town.

-The two law firms set up by the board, and who happens to be partners in said law firms, are in essence shell operations.  The insurance company does all the legwork, and the lawyers that are hired for the firm are nothing more that stand-ins for hearings.  Doesn’t matter of they win or lose, the firm gets paid by the insurance company, which means the board of the insurance company gets paid and gets to write off the loss on the insurance company end

-The bookkeeping seems shady, where payments don’t seem consistent with the services charged by the law firms or others.  

The Third Party Admin. work was a really complex and one-sided deal, and most of the money the company got form the TPA work was sent to the Law firm for the legal work, which see the point couple points up and it was the same thing (I know because I was responsible for TPA work as much as I had Company work.

-I think I worked, and those there are working, illegally.  There is a part about adjuster licenses, which I didn’t have or were told to get.  That bothers me a bit, and I have to look into.

I am not accusing the company is an illegal cesspool that should be shut down (but many are if you look at reviews online about them), but they obviously have issues.  I know most of what is in this report is still happening, I almost even went to the TPAs and State Insurance board myself to mention something.  I am glad I am not a part of that organization anymore.  

I’d like someone to tell me if what I wrote is accurate, it seems to me but I’m not formally trained to read legalize and reports like this (or at least rusty at it).