NYC Tax Advocates

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Specializing in IRS and NYS Tax Representation. Workers Compensation Audits, Payroll, Sales and Income Tax representation for Businesses, Individuals, Restaurants and Construction Companies. Civil and Criminal Workers Comp Audit representation includes: NYSIF Examinations, Premium Disputes, Employee Misclassification, Underreporting, Unreported Income, and Failure to Keep Accurate Payroll Records.
Showing posts with label #Covered Claim. Show all posts
Showing posts with label #Covered Claim. Show all posts

Wednesday, July 17, 2019

Collecting BIG BUCKS by Embellishing Insurance Claims? - Don’t Play the Fool!


fraudulent insurance act is committed by any person who, knowingly and with intent to defraud presents, causes to be presented, or prepares with knowledge or belief that it will be presented to or by an insurer, self insurer, or purported insurer, or purported self insurer, or any agent thereof:
1. Any written statement pertaining to a commercial insurance policy or a claim for payment that he or she knows to:
  • Contain materially false information concering any fact material thereto; or
  • Conceal, for the purpose of misleading, information concerning any fact material thereto; or
2. Any written statement or other physical evidence pertaining to a health insurance policy that he or she knows to:
  • Contain materially false information concerning any material fact thereto; or
  • Conceal, for the purpose of misleading, information concerning any fact material thereto.
 "The Breakdown" 
  • Fifth Degree: Commission of a fraudulent insurance act; class A misdemeanor.
  • Fourth Degree: Involving the taking or attempted taking of property valued in excess of $1,000; class E felony.
  • Third Degree: Involving the taking or attempted taking of property valued in excess of $3,000; class D felony.
  • Second Degree: Involving the taking or attempted taking of property valued in excess of $50,000; class C felony.
  • First Degree: Involving the taking or attempted taking of property valued in excess of $1 million; class B felony.
  • Aggravated Insurance Fraud in the Fourth Degree: When the perpetrator commits insurance fraud and has been previously committed of a similar crime within the preceding 5 years; class D felony.

Selig & Associates is an effective Tax Representation and Insurance Claims Settlement firm. Our offices are conveniently located in New York City and we meet with each and every client personally. To schedule a legally privileged consultation with a results driven Federal Tax Practitioner CPCU and Attorney please call us directly at (212) 974-3435. 

We take a practical approach to problem solving and strive to obtain the best possible outcome for our clients.

Effective Tax AdvocacyWe successfully resolve most civil and criminal tax problems including suspended Drivers Licenses and Passports. We provide practical solutions to difficult IRS and State tax problems. Specializing in unpaid sales and payroll taxes. We negotiate affordable installment agreements and if you have missing or unfiled tax returns we can have them prepared and filed for you within 48 hours guaranteed. For immediate assistance please call us directly at (212) 974-3435 or contact us online.  

Insurance Claims We settle insured property damage claims in the shortest amount of time and at the least cost to the policyholder and insurance company. Insurance litigation is costly and time consuming. Accordingly we provide policyholders and insurance companies with a cost effective alternative to litigation. Commercial and residential insurance representation includes: Environmental Damage, Mold (removal & remediation) Fire, Business Interruption, Burglary, Vandalism, Windstorm and Water Damage.  

For more information about our Tax Representation and Insurance Claims Settlement services or to schedule a FREE consultation call (212) 974-3435 or contact us online. 


Friday, July 12, 2019

Another Dentist Indicted for Tax Evasion




A Federal grand jury indicted another dentist for tax evasion, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Scott C. Blader.
According to the indictment, Frederick G. Kriemelmeyer, 70, operated a dental practice  In 2007, Kriemelmeyer was ordered by the U.S. District Court to pay $135,337 to the Internal Revenue Service (IRS) for unpaid individual income taxes.  By December 2012, the IRS had assessed Kriemelmeyer more than $450,000 in taxes, interest and penalties.  Beginning in approximately 2011, Kriemelmeyer allegedly took a number of actions to evade payment of this assessment. The indictment also charges that for the years 2013 through 2015 Kriemelmeyer failed to file tax returns and attempted to evade the taxes due on income from his dental practice. Kriemelmeyer allegedly sought to conceal his income from the IRS, by among other things, directing his patients to pay in cash or with personal checks that left the payee line blank and by paying his business and personal expenses with cash and third-party checks.
An indictment merely alleges that crimes have been committed. A defendant is presumed innocent until proven guilty beyond a reasonable doubt.If convicted, Kriemelmeyer faces a statutory maximum sentence of five years in prison for each of the tax evasion counts.

Selig & Associates is a boutique Tax Representation and Insurance Claims settlement firm in New York City. To schedule a legally privileged consultation with a results driven Federal Tax Practitioner CPCU and Attorney, please call us directly at (212) 974-3435. 

We take a practical approach to problem solving and strive to obtain the best possible outcome for our clients.

Effective Tax Advocacy  We successfully resolve civil and criminal tax problems including suspended Drivers Licenses and Passports. We provide practical solutions to difficult IRS and State tax problems. Specializing in unpaid sales and payroll taxes. We negotiate affordable installment agreements and if you have missing or unfiled tax returns, we can have them prepared and filed for you within 48 hours guaranteed. For immediate assistance, call us directly at (212) 974-3435 or contact us online.  

Insurance Claims   We settle insured property damage claims in the shortest amount of time and at the least cost to the policyholder and insurance company. Insurance litigation is costly and time consuming. Accordingly, we provide policyholders and insurance companies with a cost effective alternative to litigation. Commercial and residential insurance representation includes: Environmental Damage, Mold (removal & remediation) Fire, Business Interruption, Burglary, Vandalism, Windstorm and Water Damage.  

For more information about our Tax and Insurance Claims settlement services or to schedule a FREE consultation, call (212) 974-3435 or contact us online. 



Wednesday, May 1, 2019

Doctor Pleads Guilty To Obstructing The IRS


A medical doctor pleaded guilty to corruptly obstructing the due administration of the internal revenue laws yesterday, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and United States Attorney for the Middle District of North Carolina Matthew G.T. Martin.
According to court documents, Dr. Joseph Jacob Hummel purchased the home of an acquaintance, only to be repaid for the purchase a short time later.  When Special Agents with Internal Revenue Service-Criminal Investigation (IRS) interviewed Dr. Hummel about this real estate transaction, he falsely stated that he rented the property to the original owner and then sent the agents a sham lease, supporting this statement.  
Hummel faces a maximum sentence of three years in prison.  He also faces a period of supervised release and monetary penalties. Sentencing is scheduled for March 26, 2019.

New York City Tax Accountant and Tax Attorney Consult with an experienced Tax Accountant and Tax Attorney today. Our New York City offices are conveniently located and easily accessible by car, train and subway. Civil and criminal tax consultations are confidential and legally privileged. Same day and emergency appointments may be scheduled Monday through Friday. For immediate assistance call (212) 974-3435 or contact us online. 

Restaurant Tax Accountant and Tax Attorney We negotiate excellent installment agreements and provide restaurants with effective sales tax and audit representation, including unfiled tax returns and all Department of Labor issues. For a no-obligation consultation call us directly at (212) 974-3435 or contact us online.


Business Tax Accountant and Tax Attorney We negotiate affordable repayment plans and provide our business clients with effective payroll tax and audit representation, obtaining government contracts with a tax lien, compliance checks, missing tax returns and Workers Compensation audits. For immediate assistance call (212) 974-3435 or contact us online. 

Commercial Insurance Consultant and Attorney We assist businesses, nightclubs, schools and religious institutions with their specialty insurance needs including: Active Shooter and Workplace Violence Insurance Protection; Cyber Insurance, Sexual Harassment and Employment Practices Liability Insurance. For more information call us directly at (212) 974-3435. 

Property Insurance Claims We settle large property insurance claims, including business interruption, burglary, fire, windstorm and water damage for top dollar. To discuss your insurance claim with a Public Adjuster and Attorney call (212) 974-3435 today. 

Friday, October 26, 2018

Store Owner Charged with Selling Contraband Cigarettes NYS Tax Department suspends store’s registration to sell tobacco products


The New York State Department of Taxation and Finance suspended the registration required for a Putnam County gas station to sell tobacco products after agents with the department’s Criminal Investigations Division discovered 21 cartons of contraband cigarettes.

The illegal cigarettes, bearing two different counterfeit New York State tax stamps, were seized after a routine cigarette inspection at the Citgo Mart, Inc., 1481 Route 22, in Brewster.

The store’s owner, Mohamed Aljahim, 36, of 45 Decan Smith Hill Road, Patterson, was charged with one felony and one misdemeanor. The defendant is scheduled to appear in court later this month.

“The charges in this case serve as a reminder to all shop owners across the state that selling untaxed cigarettes, no matter how large or small the quantity, is a serious crime that won’t be tolerated,” said Acting Commissioner Nonie Manion. “We will continue to work with prosecutors and all levels of law enforcement as we pursue these cases.” All cigarettes for retail sale in New York State must be purchased by a licensed distributor, and retail dealers must be in possession of purchase invoices showing that the taxes on the cigarettes have been paid. Those found in possession of untaxed cigarettes can face fines of up to $600 per carton as well as a prison sentence.

A criminal complaint is only an accusation; the defendant is presumed innocent until proven guilty. The case will be prosecuted by the Putnam County District Attorney’s Office.

The Most Effective Tax Advocates in New York City!  We Solve Serious Tax Problems. For a Free Legally Privileged Consultation with a Federal Tax Practitioner and Licensed Attorney call (212) 974-3435 or Contact Us Online. 


We Settle Property Damage Claims for Top Dollar! Adjuster Selig and Attorney Dorin Settle Residential and Commercial Property Insurance Claims, including Business Interruption, Burglary, Fire, Windstorm and Losses Caused by Water Damage. For more information call David Selig at (212) 974-3435.




Friday, September 21, 2018

93% of Prison Inmates are Men and yet, the Inspector General Claims Female Inmates Lack Access to Basic Needs

Real Solutions We solve Income, Payroll and Sales Tax Problems. For a FREE legally privileged consultation with a Federal Tax Practitioner and licensed Attorney call (212) 974-3435 or through our Confidential Contact Form. 



  • The Office of the Inspector General at the U.S. Department of Justice made public a report on the Federal Bureau of Prisons’ (BOP) management of its female population. 

  • One expert found the results “damning” and another found them “horrifying.”

  • The report found a lack of access to basic needs for female inmates.

A majority of female inmates in prisons across the U.S. have not been provided basic needs, including feminine hygiene products and access to trauma and pregnancy programs, a Department of Justice (DOJ) investigation into the Federal Bureau of Prisons’ (BOP) management of its female inmate population revealed in a report made public Tuesday.
“Our review identified instances in which BOP’s programming and policy has not fully considered the needs of female inmates, which has made it difficult for inmates to access certain key programs and supplies,” Justice Department Inspector General Michael Horowitz’s report states. While female inmates made up just 7 percent of the total BOP sentenced inmate population of 146,084 as of September 2016, correctional officers have noticed that females have much different, and in some cases stronger, needs. One of the main conclusions from the report, which gathered information between 2012 and 2016, was that while about 90 percent of women are affected by physical and emotional trauma early on in their incarceration, the BOP was unable to provide its trauma treatment program to all eligible female inmates because it only staffed one program director to each institution.  

Is Your Insurance Company Taking Advantage of You? David Selig settles residential and commercial property insurance claims, including business interruption, burglary, fire, windstorm and losses caused by water damage. For more information call David Selig at (212) 974-3435.

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Monday, September 17, 2018

What is a PUBLIC ADJUSTER and why do I need one?



Is Your Insurance Company Taking Advantage of You? Public Adjuster Selig and Attorney Dorin settle residential and commercial property insurance claims, including business interruption, burglary, fire, windstorm and losses caused by water damage. For more information call David Selig at (212) 974-3435.

public adjuster is a professional claims handler/ claims adjuster who advocates for the policyholder in appraising and negotiating a claimant's insurance claim.[1] Aside from attorneys and the broker of record, state licensed public adjusters can legally represent the rights of an insured during an insurance claim process. Their technical expertise and ability to interpret sometimes ambiguous insurance policies allow property owners to receive the maximum amount of indemnification for their claims. Although seen many times as adversarial by the Carriers, public adjusters do (almost always) substantially increase the settlement value of the loss. Many professionals, and persons who are either incapable due to education, age, or physical impairment, choose public adjuster representation to guide them through the process and minimize the time which must be spent to perfect their claim. Most public adjusters charge a percentage of the settlement like general contractors who add (10/10) to the total repair cost to cover overhead and reasonable profit. Primarily public adjusters prepare detailed scope and cost estimates many times using experts in the fields of remediation, toxicology, and construction engineers to prove their loss. Public adjusters also provide insurance policy interpretation to determine covered and uncovered items and to negotiate with the insurance Carrier to a final and fair settlement.[2]
A public adjuster is a representative of the policyholder who advises, manages, and submits a claim to the policyholder's insurance company. 
There are three classes of insurance claims adjusters: staff adjusters (employed by an insurance company or self-insured entity), independent adjusters (independent contractors hired by the insurance company) and public adjusters (employed by the policyholder). "Company" or "independent" adjusters can only legally represent the rights of an insurance company.[3]
Outside the United States adjusters are commonly called (or translated into English as) "insurance loss assessors" (or simply "loss assessors") and staff adjusters or independent adjusters are called or translated as "insurance loss adjusters" (or simply "loss adjusters").[4]However, there is a clear distinction between a loss adjuster, who works on behalf of an insurance company, and a loss assessor who works on behalf of a policyholder.

Currently, 44 states (and the District of Columbia) have in place some form of statutory and/or regulatory scheme which licenses public adjusters. The states that do not are: Alabama, Alaska, South Dakota, and Wisconsin.[5] In addition, it is important to note that on October 14, 2005, the National Association of Insurance Commissioners (NAIC) adopted the Public Adjuster Licensing Model Act (MDL-228), which governs the qualifications and procedures for the licensing of public adjusters.[6] It defines a public adjuster as "any person who, for compensation or any other thing of value, acts on behalf of an insured", specifies the duties of and restrictions on public adjusters, including regulations for the following: examination, bond or letter of credit, continuing education, public adjuster fees, contracts, record retention, and standards of conduct. In addition, the model act states that public adjusters may only act or aid on the benefit of the insured in first-party claims.[7]
Holding a license in one state only permits the licensed to practice in that state. Although the regulations vary from state to state, the model act states that a non-resident can obtain a license in another state if their home state allows non-residents to apply for a license on the same basis.[7] This reciprocity agreement means that in many cases one can apply for a license in another state without having to pass that state's examination or pre-licensing education requirements.[8] Generally, public adjusters only work with insurance claims related to property damages and the business losses that they trigger such as business income, builders' risk, mechanical and electrical breakdown, extra expense and expediting expense, and leasehold interest. Although it is uncommon for public adjusters to handle health insurance claims, in some states such as Florida they are legally authorized to handle claims in all lines of insurance except life and annuities.[9]

The public adjuster's main responsibilities are to:
  • Evaluate existing insurance policies in order to determine what coverage may be applicable to a claim
  • Research, detail, and substantiate damage to buildings and contents and any additional expenses
  • Evaluate business interruption losses and extra expense claims for businesses
  • Determine values for settling covered damages
  • Prepare, document and support the claim on behalf of the insured
  • Negotiate a settlement with the insurance company on behalf of an insured
  • Re-open a claim and negotiate for more money if a discrepancy is found after the claim has been settled
Typically a policyholder hires a public adjuster to document and expedite their claims, obtain a more satisfactory claim recovery, more quickly, and completely restore their residence or business operations, and insulate themselves from the stress of engaging in an adversarial role with a large corporation. However, the cost of hiring outside experts, no matter how well-earned, can be an added burden when they are borne entirely by the policyholder. The added burden can be alleviated by the work of a public adjuster. However, policy holders who are not properly indemnified by their insurance carriers may be left with little choice but to hire professional assistance to recover the claim payment to which they are entitled.
Public adjusters must be able to recognize claims that may be insubstantial and disputable and explain such problems to the client. The everyday meanings of terms like "collapse", "partial collapse" and "extent of physical damage" might be entirely different from their legal interpretations, requiring the adjuster to clarify such terms for the client.[10] Regulations regarding the uses of these terms are constantly in a state of flux[11] so it is important for public adjusters to have a firm grasp of the law including the division of legal responsibilities between insurance companies and policyholders.

Most public adjusters are paid based on a percentage of the total settlement. For example, one Georgia company states their average fee is 15% based on the type and amount of the insurance claim. However, lower percentages are used for larger losses being claimed under a policy of insurance. Higher percentages are needed for smaller claimed losses. Smaller insurance claims can have similar costs as larger claims, but because the recovery is less on smaller claims the fee range must be adjusted to compensate for the operating costs. All public adjusters are not equal in their abilities to secure policy benefits. Skills of performance can vary significantly between public adjusters ranging from basic to elite expert. Fees of 10% to 12% are ordinary and typical for claimed losses of $100,000 or greater when handled by standard-rated public adjusters. Expert-rated public adjusters get a higher fee than standard-rated adjusters. For example, an expert public adjuster can charge 12% to 15% on a loss that exceeds $100,000. However, superior experts possess capabilities to obtain the most effective results. Therefore, highly qualified adjusters can be expected to be better skilled at achieving a greater increased benefits settlement amount than an adjuster who is not an actual expert. Adjusters who are experts must be classified and registered as an expert by the judicial system. Public adjusters declaring themselves to be experts should be verified, because such notice is not always factual. For those public adjusters who proclaim to be actual experts, it's highly recommended that their credentials be validated to prove such qualifications. Most public adjusters are not court-registered experts, but instead just have claims experience. Experience is often not expertise. 
Some public adjusters charge a flat percentage or a flat fee set price, while others use a regressive scale. It depends, in part, on the State Law where the loss occurred. For example, a regressive scale can be 25% of the first $100,000, 15% between $100,001 and $200,000, and 10% of any amount beyond that. Claims that are less than $50,000 are considered small claim losses. There are Public Adjusters who will not service smaller claims at all, while other public adjusters charge a normal range of a 30% to 35% fee rate for insurance claims with a settlement value that is less than $50,000. Public adjusters can charge a lower fee on the total settlement value of the claim, or they can charge a higher fee on an improved settlement amount that is beyond the initial settlement originally offered by the insuring organization. For example, for a $100,000 loss, a fee can be 12% on the whole claim value, where the cost risk can be a shared expense with the client, but for a lower fee which is a benefit for the client; or alternatively, if the initial settlement was $50,000, then a public adjuster might accept a 25% fee —not on the initial $50,000― but on any additional recovery settlement referred to as "new money", being a partial claim value of an amount which exceeds the initial $50,000 settlement, where fees apply exclusively to only the additional amount recovered. However, this additional recovery method of "new money only" means that the public adjuster assumes all of the cost risk and expense, with no cost risk shared by the client, hence the higher fee. (For a claim not covered by the Policy, the public adjuster could experience a business loss from operating expenses spent on "new money only" claims that are limited to only improved settlement recovery services). There are public adjusters who contract for "new money only" services but charge fees of 40% and 50% to accept that high risk, where any improved settlement benefit, or the new money recovered, is essentially split about evenly between the public adjuster and the client. It's important to note that some states cap public adjuster fees at levels such as 10% or 20%, and some consumers opine that normal public adjuster fees are standardized, citing 10% on any claim regardless of its value. This is not accurate and cannot work. Such limitations can cause public adjusters to avoid helping consumers with smaller claims altogether when the services' costs can actually become a financial loss if not providing a fair, reasonable and necessary business earnings' margin needed by public adjuster firms in order to operate, just as with any business. Most states do not cap fees for this reason, while nearly all states welcome public adjuster services for their insuring public. Professional fees must be adequate for public adjusters to cover operating and business costs while still providing sufficient business income returns on those costs. Higher fees on smaller claims having low recovery values are necessary to provide the adequate compensation that a public adjuster needs to accept the costs of providing full services. 
Regardless of the fee structure, the public adjuster professional fee may, and will likely, be offset by an increase in the settlement amount on a covered claim. In many jurisdictions, the fee structure must be disclosed up front. It is important to note that a public adjuster cannot obtain more than the policyholder is legitimately entitled to, but public adjusters ―especially experts― generally recover a better financial settlement benefit than the fees charged to their clients, thereby leaving their clients with a net financial improvement of benefits recovery after fees are paid. The indemnity promised and provided for by an insurance policy, or the full potential financial recovery value of an insurance claim, is often not obtainable without professional assistance like that which comes from a very capable public adjuster.

Loss Recovery Insurance is an insurance policy devised by Lorega Ltd - which covers the cost of an independent Chartered Loss Adjuster, who acts solely on behalf of the behalf of the policyholder, in preparing, negotiating and settling an insurance claim. Insurers always have the benefit of staff or independent adjusters to act on their behalf, reducing the claim wherever possible. Loss recovery insurance helps level the playing field by providing the policyholder with independent expert advice. Lorega Limited is an Independent Underwriting Agency, based in London, with capacity from Lloyd's and the London Insurance Market, and distributes a number of assistance insurance products which provide expert help, when it is needed, to policyholders in the UK.

While it is not always clear[12] when a policyholder may benefit from hiring a public adjuster, the most benefit is likely to be realized if they are engaged immediately in case of a loss. Shortly after the insurance company receives notice of a loss, an adjuster representing the insurance company will visit the policyholder to gather facts about how the loss occurred, the magnitude of the loss, and the possibility of subrogation. Incorrect, incomplete or inadequately expressed answers to the adjuster's questions may reduce the amount that can be claimed. A public adjuster engaged early in the process, before the fact-finding stage, will have more opportunity to help the policyholder receive a fair settlement for all losses legitimately covered under the insurance policy. However, any time during negotiations with the insurance company and even after a settlement has been received by an insured, a public adjuster may be able to negotiate for a higher amount.


Is Your Insurance Company Taking Advantage of You? Public Adjuster Selig and Attorney Dorin settle residential and commercial property insurance claims, including business interruption, burglary, fire, windstorm and losses caused by water damage. For more information call David Selig at (212) 974-3435.

Tuesday, August 7, 2018

UNLICENSED INSURANCE AGENT & UNINSURED VEHICLE RESULTS IN AGENCY GETTING SUED (Holy Moly)



I saw this article in 6 August 2018 online edition of AGENCY EQUITY. 
"It is common for an insurance agency to have some very long-term employees. With relatively few young people entering the industry, agencies increasingly rely on customer service representatives and other employees with several years or even decades of service there. Not all of these employees hold producer licenses, but they have gained a wealth of knowledge during their careers and agencies trust them. However, an unlicensed employee’s interactions with customers can cause complications or even legal actions, as a [redacted] insurance agency found out. 
A woman bought a new car and contacted the agency for insurance quotes. She already had a policy; the court’s opinion described her as “a long-time customer.” Her communications about the insurance quote were with the office receptionist, who was not a licensed agent. The customer asked the receptionist questions about the various quotes the agency obtained and complained that the prices seemed high. She did not accept any of the quotes right away.
The following month, someone tried to steal something out of the new car and broke the windshield. The woman incurred repair expenses of $12,535.05 and lost the use of the car for a time. Even after the loss occurred, she continued to communicate with the agency about insurance for it. In the meantime, she submitted a claim to her incumbent insurance carrier. However, their policy provided automatic coverage for new cars for up to 20 days. She never told them about the new car and was well past the deadline, so they denied coverage.
The woman then sued the insurance agency, charging that:
  • The receptionist represented herself as a licensed insurance agent
  • The receptionist failed to obtain coverage on the car in a timely manner
  • The receptionist assumed that the customer’s existing insurance policy would cover the car
  • The agency was negligent and breached its contract with her.
The insured and the receptionist filed affidavits with the court. The receptionist’s affidavit stated that she thought the insured had been misled, but the agency was successful in having parts of both affidavits stricken from the record. The trial court then ruled that the law did not impose any liability on the agency for the loss. The insured subsequently requested a new trial and permission to amend her arguments, but the trial court did not rule on these requests, so she appealed to a higher court.
The appellate court agreed with the trial court. The insured had argued that the receptionist’s unlicensed status, combined with evidence that she assumed the existing policy would cover the car, was proof that the misrepresentation about the receptionist’s licensing status was a cause of the loss. However, the appellate court noted that any evidence of the receptionist’s assumptions had been stricken from the record, so there was no evidence of what she thought. 
The court also found no evidence that the lack of a license caused the receptionist to fail to timely bind coverage. The record showed that she was out of the office on sick leave when the insured requested coverage. 
Ultimately, the court found no relationship between the insured’s lack of insurance and the receptionist’s lack of a license. It further found no reason to conclude that the agency was negligent, since it offered several quotes and the insured did not accept any of them. It also found no reason to believe a contract between the insured and agency existed, so there were no grounds for the breach-of-contract claim.
This case appears to be a situation where the insured tried to blame the agency for her own mistake. However, it also appears that the receptionist may have been discussing matters that should have been off limits. An unlicensed employee is not an agent of an insurer and has no authority to bind coverage. According to the court’s opinion, this employee spoke as if she had that authority. 

While the misrepresentation about her abilities did not cause this uncovered loss, it certainly could have caused one with a much larger price tag. An unlicensed employee should never give the impression that he or she can bind, or even discuss, coverage. Every agency should ensure that only licensed staff discuss coverage options and the binding of insurance.

The Most Successful Tax Advocates in New York City  We provide the most aggressive tax representation allowed by law. To schedule a FREE face-to-face consultation call (212) 974-3435 or contact us through our confidential Contact Form. We practice before the Internal Revenue Service ("IRS"), the New York State Department of Taxation and Finance ("NYSDTF"), the Department of Justice Tax Division ("DOJ") and the Defense Office of Hearings and Appeals ("DOHA"). Additionally, we answer telephone calls and emails, and we provide our clients with regular status reports. For a legally privileged consultation with an experienced Federal Tax Practitioner and licensed Attorney call (212) 974-3435 today. 

We Solve Serious Tax Problems Quickly  Including Tax Crimes, Tax Evasion, Failure to File a Tax Return, Criminal Non-Filing, Filing False Tax Returns, Installment Agreements, Partial Payment Agreements, Audits, Sales Tax Controversies, Wage Garnishments, Bank Levies, Seizure of Property, Innocent Spouse Relief, Trust Fund Recovery Penalty, Payroll Taxes, Offers in Compromise, Administrative Appeals, Collection Due Process Hearings, Asset Protection Trusts, Tax Liability Settlement Trusts, and most other tax matters. To schedule a FREE face-to-face consultation call (212) 974-3435 or contact us through our confidential Contact Form. 

Selig & Associates is a boutique Tax Representation and Risk Management Firm specializing in unpaid tax obligations and commercial insurance coverage

  Tax Advocacy      Federal Tax Practitioner, CPCU and Attorney. Practicing before the Internal Revenue Service and New York State Departmen...