Former Seattle Agent Faces Arrest Warrant for Fraudulent Activity
Washington Insurance Agent Accused: A former Seattle insurance agent, Edward Hadley, has been charged with stealing more than $424,000 in insurance premiums from clients. After failing to appear in court, a King County judge issued a bench warrant for his arrest. Hadley faces nine counts of first-degree theft following an investigation by the Washington Office of the Insurance Commissioner (OIC).
How the Fraud Unfolded
Washington Insurance Agent Accused: Investigators revealed that between December 2020 and November 2021, Hadley diverted 21 checks totaling $424,107 into his personal account instead of the appropriate business account for HUB International Northwest LLC, his employer at the time.
The fraud came to light when one of Hadley’s business clients switched their earthquake insurance provider to Superior Underwriters. When the new insurer requested copies of previous policies, they discovered discrepancies in terms, premiums, and contract dates. Worse, Hadley had reportedly provided falsified proof-of-coverage documents.
Superior Underwriters immediately reported the issue to the OIC, which launched a regulatory investigation.
Deceptive Practices and Misused Funds
Eleven clients confirmed they had made payments to Hadley’s insurance agency, not to him personally. However, Hadley allegedly altered the payee name on the checks to “City B Properties” and deposited them into his personal ATM account.
While Hadley did return $276,387 to HUB International Northwest, it remains unclear whether those funds were reimbursed to affected clients. The remaining $147,719 remains unaccounted for, according to the OIC.
Legal Consequences and Industry Fallout
As a result of the investigation, Hadley was added to Insurance Commissioner Patty Kuderer’s “Most Wanted” insurance fraud list. Additionally, the OIC revoked his insurance producer license in June 2024.
Authorities are urging anyone with information regarding Hadley’s whereabouts to come forward. Cases like this highlight the importance of vigilance in the insurance industry to protect consumers from fraudulent agents.
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Read the full report from the Washington Office of the Insurance Commissioner.