Modesto, CA – Kannai David Scantlen, 41, of Valley Springs, a former insurance agent conducting business as Kan I Save Insurance Services, was recently convicted of insurance fraud and sentenced to 60 days, three years formal probation, and ordered to pay $20,000 restitution.
A joint investigation by the California Department of Insurance Investigation Division and the Amador County Workers’ Compensation Fraud Unit revealed Scantlen received premiums from business owners to purchase general liability and workers’ compensation coverage for their businesses but failed to forward the money to the insurer. Scantlen pocketed approximately $20,000 from six clients, mostly contractors, leaving the businesses and their employees with no liability or workers’ compensation coverage.
“Scantlen put legitimate business owners at great financial risk when he stole their premium payments and left them without workers’ compensation coverage,” said Insurance Commissioner Dave Jones. “If an agent or broker provides you with an insurance certificate, it is important to follow up with the insurance company and to verify your coverage and make sure you receive an actual policy.”
Scantlen provided his clients with fraudulent insurance certificates showing they had valid coverage, but the policy information on the certificates was bogus. The companies listed on the certificates confirmed they had no record of receiving premium and had no record of coverage for the businesses.
The Department of Insurance is concerned that there are more victims that may believe they have insurance and do not have coverage. Anyone who purchased insurance coverage from Scantlen between 2012 and 2015, and received an insurance certificate should make sure they have an actual copy of a policy or contact their insurer and verify coverage and contact the department at 800-927-4357 to report any suspicions or concerns.
Scantlen was sentenced April 6, 2016 and has so far reimbursed $11,000 to his victims. The department is taking action to revoke his license. Scantlen’s agent license is currently suspended.