Photo: tolgart / E+ / Getty Images
(Iowa) -- The Iowa Insurance Division is warning of a sophisticated licensing and identity theft scam being reported in multiple states.
The Iowa Insurance Division says the scam begins when a scammer makes unsolicited contact with someone and encourages them to apply for an Iowa resident insurance producer license, usually offering to help once the person gets their license. The scammer may offer to assist with managing sales leads or to help with policy administration or policy sales.
If the person agrees and obtains a license, the scammer acquires their new National Producer Number, and uses it to issue unauthorized insurance policies to collect commissions and federal health insurance subsidies. The Iowa Insurance Division says scammers typically operate from offshore locations and use the National Producer Number to issue the policies, often altering or fabricating consumer data to receive maximum payment from federal subsidies.
Anyone who is contacted by a scammer or finds an unauthorized policy in their own name is urged to contact the Iowa Insurance Division immediately by calling (515)654-6556 or going to the National Association of Insurance Commissioners website.