IMG International, the parent company of new international PMI UK market entrant, IMG Europe, has instructed its producers in Florida to stop selling policies to the State's residents following receipt of a consent order by the Office of Insurance Regulation (OIR) of the State of Florida, writes Angela Faherty.
The move came after an investigation by the OIR into the business practices of both IMG and its underwriter, Sirius International, following allegations that both companies may have violated the Florida Insurance Code by underwriting and managing unapproved health insurance policies.
Joseph Brougher, president of IMG, refused to be drawn on the details of the consent order but confirmed that the company was no longer accepting new business in the State.
"We have notified our prod-ucers that we are no longer accepting applications on Florida residents until such time as Sirius becomes an approved surplus lines carrier in the State of Florida. We have no comment on the contents of the consent orders that were entered into between IMG, Sirius International and the Office of Insurance Regulation of the State of Florida," he said.
The OIR is set to publish the consent orders in September, from which time the details will be available to the public.
Commenting on the impact the Florida ruling may have on the firm's UK arm, Brougher said: "The resolution of issues in Florida will have absolutely no impact on our European operations. IMG Europe was started to expand IMG's presence in the European market where we see a real opportunity for growth."
Despite concerns among UK advisers about the impact of the ruling on the UK market, the industry trade body, Association of Medical Insurance Intermediaries (AMII), would not reveal its view on the situation.
Stephen Walker, chairman of AMII, said: "We are awaiting the outcome of the order and how and if it will impact on IMG Europe in the UK before we speak to our members."
