What Is “Self-Dealing” In The Insurance Industry?
Self-dealing is a very serious allegation in the insurance industry. If your organization has been accused of this misconduct, the first step is to gain a solid understanding of what “self-dealing” actually means. How might an insurance representative engage in this misconduct? What are the potential consequences, and can a Tampa insurance defense lawyer help you avoid these penalties? Self-Dealing Allegations Are Common in Florida’s Insurance Industry In Florida, allegations involving self-dealing are relatively common across the insurance industry. In April of 2025, Insurance Business reported that the lack of transparency in this industry had become concerning. The report also cited numerous investigations that uncovered “widespread” self-dealing by insurers. Some say that this practice, which involves draining money out of insurance companies through affiliates, has caused premiums to increase. Another report by Insurance Journal in May of 2025 highlighted an incident involving alleged self-dealing by a major insurance company’s CEP. The CEO is accused of charging $400,000 for questionable IT services, and paying her own company this sum. The report implies that this is an example of “self-dealing” in the insurance world. The Basics of Self-Dealing From funneling money out of companies to charging inflated fees for questionable IT services, there are many examples of self-dealing to consider. However, this practice is at its core a “breach of fiduciary duty.” All insurers are fiduciaries, which means they owe their policyholders a legal duty of care. They must attempt to act in the best interests of their policyholders. Not only that, but insurers must avoid doing anything to benefit themselves at the cost of their policyholders. This could lead to a breach of fiduciary duty lawsuit, which is a common legal issue for insurers in Florida. While self-dealing can affect policyholders, these individuals may not be the ones suing insurance companies. Instead, you might face a self-dealing lawsuit from anyone who owns significant stock in the company. You might also face this type of lawsuit from another company that does business with your insurance organization. Florida has passed many laws favoring insurance companies in recent years. This means that regulators might be more willing to “look the other way” regarding allegations of supposed self-dealing. However, these loose regulations were intended to encourage the recovery of the insurance industry in Florida. The industry is now recovering, so regulators might be more confident about cracking down on self-dealing. As a result, legal assistance may be more important than ever. Can a Tampa Insurance Defense Lawyer Help With Self-Dealing Allegations? If you or your organization has been accused of self-dealing, you should speak with an experienced insurance defense attorney in Tampa as soon as possible. Self-dealing can lead to various legal issues, including lawsuits involving “breach of fiduciary duty.” To learn more about potential defense strategies, contact HD Law Partners at your earliest convenience. Sources: https://insurancebusinessmag.com/us/news/breaking-news/affiliate-oversight-failures-highlight-need-for-structural-reform-in-florida-legal-expert-532128.aspx https://insurancejournal.com/news/southeast/2025/05/29/825398.htm Posted in Insurance Defense | No Comments » Connect with us Archives May 2026 April 2026 March 2026 February 2026 January 2026 December 2025 November 2025 October 2025 September 2025 July 2025 June 2025 January 2025 January 2024 December 2023 November 2023 October 2023 September 2023 August 2023 July 2023 June 2023 May 2023 April 2023 March 2023 February 2023 January 2023 December 2022 November 2022 October 2022 September 2022 August 2022 July 2022 May 2022 April 2022 March 2022 November 2021 October 2021 September 2021 August 2021 July 2021 May 2021 April 2021 March 2021 February 2021 January 2021 December 2020 November 2020 October 2020 August 2020 July 2020 June 2020 May 2020 April 2020 March 2020 February 2020 January 2020 December 2019 November 2019 October 2019 September 2019 August 2019 July 2019 June 2019 May 2019 April 2019 March 2019 February 2019 January 2019 December 2018 November 2018 October 2018 September 2018 August 2018 July 2018 June 2018 May 2018 April 2018 March 2018 February 2018 January 2018 December 2017 November 2017 October 2017 September 2017 August 2017 July 2017 June 2017 May 2017 April 2017 March 2017 February 2017 January 2017 December 2016 November 2016 October 2016 November 13 Categories Alimony Appellate Arbitration Auto Accidents Auto Insurance Business Corporate Business Insurance Law Child Custody Child Support Criminal Law Divorce Family Law FEMA Insurance Payments Florida’s Mandatory 2‑Hour Legal Professionalism CLE: Foreclosure Defense Fort Myers Hurricane Insurance Attorney General Guardianship HD Law Partners Service HOA/Property Management Homeowners Association Homeowners Insurance Hurricane Claims Hurricane Insurance Insurance Bad Faith Insurance Claims Insurance Defense Insurance Litigation Landlord Tenant Law Enforcement Liability Loan Modifications Mold Water Damage Parental Rights Paternity Personal Injury Premises Liability Law Prenuptial Agreements Private Security Property Distribution Property Owner Law Sarasota Insurance Litigation Attorney Slip Fall Tampa Business and Corporate Attorneys tampa family attorney Tampa Insurance Attorneys Timeshare Timesharing Uncategorized HD Law Partners is proud to be your trusted full-service law firm Quick Links Property & Casualty Business & Corporate Litigation Family Law Contact Us Careers Get In Touch 2002 North Lois Avenue Suite 510 Tampa, FL 33607 813-253-5333 Contact Us