April 17, 2025 | JacobiJournal.com — A former Texas insurance broker is facing felony theft charges after allegedly collecting payments from clients for policies he never purchased.
Edgar Peralta, of Peralta Insurance Brokerage LLC, turned himself in to Friendswood Police on April 10, 2025. The former Texas insurance broker is charged with theft, a state jail felony, filed by the Galveston County District Attorney’s Office.
Fraud Uncovered After Traffic Stop
Friendswood Police began investigating Peralta on March 3, 2025, after receiving a fraud complaint from a longtime client. The client had used Peralta for several years to secure homeowner, auto, and flood insurance policies.
In May 2024, Peralta reportedly advised the client to prepay for policies covering the upcoming year, promising significant cost savings. However, after a January 2025 traffic stop, the client discovered their auto insurance was invalid. Upon contacting the insurer, they learned the policy had been canceled for non-payment.
Further inquiries revealed the same issue with both the homeowners and flood policies. The client provided wire transfer records showing they had paid Peralta directly. However, investigators believe he never forwarded the funds to the insurance companies.
License Revoked Months Earlier
The situation escalated when the client discovered that Peralta’s insurance license was revoked in June 2024—months before he accepted their latest payments. This revelation raised serious concerns about how the former Texas insurance broker continued operating despite being legally barred from conducting insurance transactions.
According to industry regulations, once a license is revoked, an agent is prohibited from soliciting, selling, or managing any insurance policies. However, investigators allege Peralta ignored these restrictions and continued to present himself as a legitimate broker. This not only violated state insurance laws but also placed clients at risk of being uninsured without their knowledge.
Authorities say this pattern of behavior underscores a larger issue in the insurance industry—how revoked agents can exploit personal relationships with clients to commit fraud. For victims, the trust built over years of service made it harder to suspect wrongdoing until financial harm had already occurred.
Ongoing Investigation
Friendswood PD has referred the case to the Texas Department of Insurance, which has launched its own investigation into the former Texas insurance broker and his alleged fraudulent activities. Authorities are reviewing financial records, client communications, and policy documentation to determine the full extent of potential violations.
Additional charges may follow based on their findings, especially if more victims step forward with similar claims of premium payments that never resulted in active coverage. The former Texas insurance broker remains under investigation, and authorities urge any other potential victims to come forward immediately to aid in the ongoing case.
If you suspect fraudulent activity by an insurance agent or broker, report it immediately through the Texas Department of Insurance’s official fraud reporting portal to protect yourself and other consumers.
Source: Friendswood Police Department
FAQs: Former Texas Insurance Broker
Why was the former Texas insurance broker charged with theft?
Authorities allege he collected payments for insurance policies he never purchased and kept the funds.
When was the former Texas insurance broker’s license revoked?
His license was revoked in June 2024, months before he allegedly continued selling insurance policies.
How can clients report fraud by a former Texas insurance broker?
Victims can contact the Texas Department of Insurance or local law enforcement to file a report.
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