STATE OF WASHINGTON MIKE KREIDLER

STATE INSURANCE COMMISSIONER

OFFICE OF

INSURANCE COMMISSIONER

HEARINGS UNIT

PLEASE E-MAIL FILE-STAMPED COPY TO CONFIRM RECEIPT.

TO: FROM: DATE:

Office of Administrative Hearings Rebekah Caiier, Paralegal, OIC Hearings Unit April 29, 2019

Phone: (360) 725-7000 www.insurance.wa.gov

MATTER: re: Barton Herndon, Order Revoking License, Docket No. 19-0054

COUNSEL REPRESENTING COMMISSIONER:

Ross Valore, Ins. Enf. Specialist Office of the Insurance Commissioner Legal Affairs Division P.O. Box 40255 Olympia, Washington 98504

OIC HEARINGS UNIT ACTION TO DATE:

AGGRIEVED PARTY:

Barton Herndon, Pro Se 1207 Margaret St. Thomasville, GA 31792

Notice of Receipt of Demand for Hearing sent to Aggrieved Parties on April 29, 2019

AGENCY REQUEST: As soon as possible, please assign an ALJ to hold an evidentiary hearing and any necessary preliminary conference(s), enter an Initial Order, and then return the original file and hearing record to the OIC Hearings Unit. Should this matter be settled prior to hearing before the ALJ, or the Aggrieved Parties fail to appear at scheduled hearing, the ALJ will issue a Final Order.

Documents included in transmission: 1. Notice of Receipt of Demand for Hearing, dated April 29, 2019 2. Demand for Hearing, filed April 24, 2019 3. Order Revoking License, Docket No. 19-0054

Agency Contact/Billing contact: Rebekah Caiier, OIC Hearings Unit Paralegal P.O. Box 40255 Olympia, WA 97504-0255 (306) 725-7002 HearingsU@oic.wa.gov

Mai ling Address: P. 0 . Box 40255 • Olympia, WA 98504-0255 Street Address: 5000 Capitol Blvd . • Tumwater, WA 98501

® ~

STATE OF WASHINGTON MIKE KREIDLER

STATE INSURANCE COMMISSIONER

To:

From:

Copy to:

Date:

Hearing:

OFFICE OF

INSURANCE COMMISSIONER

HEARINGS UNIT t_ -~ I

NOTICE OF RECEIPT OF DEMAND FOR HEARING

Baiion Herndon 1207 Margaret St. Thomasville, GA 31 792 herndon. bart@gmail.com

Rebekah Carter, Paralegal, OIC Hearings Unit

Ross Valores, OIC Legal Affairs Division

April 29, 2019

Barton K. Herndon, Order Revoking License, OIC Docket No. 19-0054

Phone: (360) 725-7000 www. insurance.wa.gov

This is to advise you that on April 24, 2019, the Hearings Unit received and filed the Demand for Hearing submitted on behalf of Baiion Herndon

Pursuant to RCW 34.05.425(l)(c) and WAC 284-02-070(2)(d)(i), your Demand for Hearing will be transmitted to the Office of Administrative Hearings (OAH) where an administrative law judge (ALJ) will be assigned to conduct prehearing activities and preside over the evidentiary hearing. The ALJ will schedule a-prehearing conference to discuss this matter with all parties. Following the hearing, the ALJ will enter an Initial Order in accord with RCW 34.05.461(l)(c), including findings of fact and conclusions of law, which will then be sent to our unit along with the hearing record for review by our Presiding Officer and entry of a Final Order pursuant to RCW 34.05.464.

Please direct any questions to Rebekah Carter, Hearings Unit Paralegal, (3 60) 725-7002; HearingsU@oic.wa.gov. For more information on our hearings process, visit http: //www.insurance.wa.gov/laws-rules/administrative-hearings/.

Mailing Address: P. 0 . Box 40255 • Olympia, WA 98504-0255 Street Address: 5000 Capitol Blvd. • Tumwater, WA 98501

04/24/18 05:58PM EDT Herndon Insurance-> 3608642782 Pg 2/4

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INSURANCo c,)hlMISSIONtR 1111 1\1,1 1'111

State of WMhlnA\Qn Offtoo ot1he lnsl!rnnce Corl'Jm1as1onof Haarl~A~ (Jnll PO flox4025$ 01yrnpla WA eeso,i..nas 6000 Capitol Boulevard Tu1)1Water, WA 88501 (!!00) 72&-7002 ~AX (360) 6M-2702 He~rh1QiUiroo\o.wa.gov

Please type or print In Ink. Attaoh a copy of the Order or correspondence In dispute and ~II d~i;irmen,t~J~UPRc;>rli~.9)Y01:JJ dfrini;ind. Thls Demand for Hearing can be mailed, faxt11ci, hand-delivered or er'!'lalled to the Hearings Urtit' ~t t~~ i!ltJdtri~ ~bov1J.° . u For OIC Demands, plea$e provide contact lnfo,matlon for all other lntc11;1eted p1;1rtles and their rep ~ q .}1~· t 1, •

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Barton H~rndor1 19-0054 StraetAcidres$ City, Sta_t_e_, Z~lp~~.•-·--1207 mar9aret st -~_.......-,-----,..,.-'J-,....--~---- Thomasville GA, 31792 1'elephona Numbs~ Fax Number ~,~,--,_,_._,--1

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Barton Hemdon __ ~------2_2_9_-3_7_9-_1_96_8 __________ he....;..;.,,rndol).bart@gmall.com

■ Authorized Representative/Attorney for Requesting Party .,, -•--i.-~u1tNa1~~•-.. -· First __ ,----·---.. ·~·;·---•"·--·--..

--~-----'--'--------~---~-----.. Stretilt Address City, State, Zip

Telephone Number Fax Number Email Addre9&

B S1

ubJec.t Matt~r of Demand for Heal'ing ■■

0 RevoOl)tlon or P8l1\BI of LlcensB \J Ht'JVOc11.1l\'in or Denh;1I <'le11lfl<-..ita of Authority or REIJ;IIMrn\li;in D Cease and DfJ$lst OriW

0 1mposltll'/n of Flmi/Consenl Order □Other_ •-. . ---'--• __ -· .. _

a. Additional Partles/Representatlvc:!9 (for more parties nnd/w ;apresi;lniat\ves, plmlse atta(lh addll\(llla1

\ pagee)

Last N~me P"ir$t M.1.

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II issues and Arguments ~. Issues - Briefiy describe each ls$Ue or area of dl$pute that you wllilh us to consldet. Attact1 additional page~ If nl'l()essary,

By making an unsolicited contact about s Medicare Advantage plan, by repeatedly providing false hifonnatlon to the Insurance Commissioner's Investigator, by completing an Insurance application with a non-English speaking oonsumer without the use of an interpreter, and by destroying an Insurance application without notifying the applicant or the insurer, the Licensee violated RCW 48.17.530(1)(b }1 42 CFR § 4222 .268(d), and RCW 48.17,530(1)(h), lut;;tifying tile revocation of his license pursuant to RCW 48.17.530(1 )(b) and RCW 48.17, 530(1)(h).

RElV (l:i/18)

04/24/ 19 ·05: 58PM EDT He:rndon rnsu:ranoe -> 3808842782 Pg 3/4

b. Argumenb - t:xptaln why I/.J1;1ch lsoue ot are~ ol dispute listed above aholllcl be decided In your favor. Atmch addltlonail plilges If necessary, To the extant l<MWn, cite applic:able rules, etetutes, or oa$!;l$ In support of your arguments, Enclo13e copies of documents concarnlng your arguments Including Clocuments the Department previously !'equeated lrom you that yol1 h~vo not yet provtd0d.

I did not make unsolicited cont@ct about a rnedlr.Are advantage plan,

I did not lie to Investigators, I simply had a hard time remberlng the detalls of that particular appointment with others during my phone call with Investigators.

I did have an Interpretor

I did not destroy an application nor take an application from the client.

Please see the attached document for the details that address each Issue

B Signature

Either the Reque$\il1g Party ot the Attorney/Representative can sign thie Demand for Hearing. However, If the Representative Is submitting tha Demand, contac;t information for the Requesting Party Im!.§! be provided 1,m<ler Section 1 above ainci the Altorney/Representatlvl:1'$ contact lnforrruiitlOl'l must b1:1 provided In Section 2.

N1;1me (please print or type)

Auttiol'lzad Repre$entative:

Signature

Name (plea~fi! print or type)

REV (8/18)

4/24/2019 Date

Mr. THIil

Date

Title

II'

Ill■

04/24/18 05:58PM EDT Herndon Insurance-> 3606642782 Pg 4/4

Because of this revocation I recently was denied a contract from a c11rrler. If my appei'.!I with you . and the carrier Isn't succes:.iful I wlll lt:Jse my existing contracts and my family's llvellhood.

I received 11n i::tnall from the WA DOI about the alleged lncldent The investigators told me that Mrs, Yuss1,1f complafned be(:i>Usc she tho1,115ht I was ;ii fed thAre trying to get her deported. I feel like that Ms. Yussuf was scerE;id of gettlng deported, (reasonably so) trying to protect her family's need to stay In th~ country, Md flied a complaint to hopP.fully prevent that from happening. The two investigators called me on the s~me phonP. l1ne and slmultaneously asked me questions. I am not blamh'lg the investle~tors and In the same breath it ls reasonable when someone1s llvelihood is at staka in the heat of a mornerit like that, to get flustered end confuse the events between appointments that happened at the same tlme several months ago, with each other. I had seyeral appointments ,;luring that time period with people that spoke Swahfli, During the 1;:1;111 I had a hard time distinguishing which one of those appointments was the l;lppointment that they were referring to. I confused the detalls between several of those appointments and rnlsspoke. •

After the heat of the moment was over, l was able to take a breath, spend time thinking ttbout i'lll the ~ppolntments I hacl fn which the prospective cllents spoke Swahili, f;lnd remember exactly which appcifntment the investigators were asking me about. The appointment was Interpreted by Ms. Ywmtfs long time nurse. We sat down 1;1nd talked about dental vision and hearing plans. She said she had heard about Medicare offering those benefits fol' free. I told hl;!r she needed to sign a scope of appointment form before I could talk with her about those kind of benefits. She signed a scope of appointment form. Then I checked her son's Medicare status. I verifled her son wr;is not on Medicare and told her there was nothing I could do to put hlm Into a plen like that. She told me did not wi;rnt to purchase a standalone dental plan. I never took an application of any kinct from her. I tbld her that I totally understood, thirnked her for her time, gave her my tard, and le.ft.

I acquired an Insurance license ln 2004, In over 14 yef;lrs I have never had a DOI complaint. When I started sellln~ insurance I wrote a mission statement saying "Do the right thing for every client every· time." That's what I have done. There are over a thousand Medicare cli1:nts that wlll verify that l have done that for thern. With the circumstance!> listed above and my 14 year track recorct I feel lil<e the state of Washington would be doing the dtlzens of Washlngton1 my clients, my famlly, and me a sarvlce by reinstating my license.

,.,~

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04/24/19 05:58PM EDT Herndon Insurance->

Herndon Insurance Phone: 229-379-19138 Fax: 229-375-0761

Fax· To:

FDXI 380•684-2782

.Rel

From; Borton Herndon

Pages:4

Date: Aprll 24, 2019

314 Clermont Dr,, Thomaavllle, GA $1792

3608842782 Pg 1/4

Thie fax wae eent uelng the Fax;oom™ Internet fax eervloe. Fax onllne without a fax maohlne, Try It now for free at Fax.oom/free.

STATE OF WASHINGTON OFFICE OF THE INSURANCE COMMISSIONER

In The Matter of

BARTON K. HERNDON,

Licensee.

To: Barton K. Herndon 5787 Airline Rd. Pavo, GA 31778 Herndon.bart@gmail.com

Order No. 19-0054

W AOIC No. 978522 NPN 8106206

ORDER REVOKING LICENSE

IT IS ORDERED AND YOU ARE HEREBY NOTIFIED that your Washington State

insurance producer license is REVOKED, effective FEBRUARY 15, 2019, pursuant to

RCW 48.17.530.

BASIS:

1. Barton K. Herndon ("Herndon" or "the Licensee") is a nonresident insurance

producer licensed in the state of Washington on April 6, 2018. He is authorized to sell life,

disability, property and casua1ty·lines of insurance. His appointment" with Molina Healthcare of

Washington, Inc. ("Molina") became effective April .17, 2018. Barton has been a resident

insurance producer in Georgia since-September, 2004, and is actively licensed in six (6) states.

2. The Insurance Commissioner's Investigations Unit ("Investigations") received a

qomplaint from a Washington consumer ("the Complainant"), alleging the Licensee made an

unsolicited contact regarding a Medicare Advantage plan for the Complainant's disabled son and

had the Complainant complete an application for a Medicare Advantage plan without an

interpreter. The Complainant speaks Somali. The complaint was filed with the help of an

employee of the Washington State Department of Social & Health Services.

3. The Complainant was interviewed by Investigations through an interpreter. She

ORDER REVOKING LICENSE ORDERNO. 19-0054

LA - 1577807 - 1

State of Washington Office of the Insurance Commissioner PO Box40255 Olympia, WA 98504-0255

explained to an investigator that the Licensee and another man came to her home unannoiinced

and uninvited, and kept mentioning "Molina." The Complainant didn't understand what the

Licensee was saying because she only speaks Somali, and there was no interpreter present. She

was frightened because she thought the Licensee and the other man were "the Feds," and she did

not know what to do. The Complainant said that the Licensee showed her some papers, and she

signed them, not knowing what the papers were. The Complainant's disabled, son and his nurse

were also present during the encountet The Licensee did not provide the Complainant with copies

of the paperwork she signed.

4. Investigations also interviewed the Complainant's son's nurse. The nurse provided

Investigations with the Licensee's business card. The nurse stated that the Licensee and another

man appeared at the Complainant's home, on behalf of Molina. She said that the Licensee told

them it was time to switch the Complainant's son to a Medicare product. The nurse said that the

· Licensee had the Complainant sign and initial a 12 page document, but he did not leave them with

. a copy of it. The nurse told the Licensee that an interpreter was needed, and the Licensee

responded that one would be introduced at a different time. The nurse stated to an investigator that

the only thing that was left was a business card, and it was only left b~cause she insisted that

Licensee leave the business card.

5. Molina responded to Investigations that the Complainant's son has been enrolled

with Molina Apple Health for the blind and disabled, a Medicaid product, since September 2012.

Molina asked the Licensee for information about his encounter with the Complainant after

receiving notification from the Insurance Commissioner of its investigation. The Licensee

reported to Molina that he had met the Complainant and her son while door knocking to sell

ancillary products, unrelated to Molina. Molina does not sell ancillary products on a stand-alone

basis. Molina confirmed that it had no record of any Medicare product for the Complainant or the

Complainant's son.

6. The Licensee's written and verbal statements regarding his interaction with the

Complainant and her son varied over time. On August 23, 2018, the Licensee replied to questions

from Investigations that the Complainant must have him confused with someone else because he

never talked to her about a Medicare Advantage plan. He admitted to knocking on their door,

unaccompanied, to discuss ancillary products. He communicated with the Complainant through

family members at the residence.

ORDER REVOKING LICENSE ORDER NO, 19-0054

LA - 1577807 - 1

2 State of Washington Office of the Insurance Commissioner PO Box 40255 Olympia, WA 98504-0255

7. On August 28, 2018, the Licensee responded to questions from Molina. He told

Molina that he did not discuss Medicare Advantage, but only spoke to them about dental and vision

plans. Because the Complainant seemed very uncomfortable, he wished them a good night and

left their home.

8. On September 5, 2018, in response to a follow-up inquiry fr.om Investigations, the

Licensee said that the Complainant must have him confused with someone else, that he didn't have

her sign any documents, and no insurance company has any such paperwork.

9. On September 19, 2018, Investigations interviewed the Licensee by phone. He said

he made two (2) business trips to Washington State, in April and May, 2018, to follow up with

individuals who responded to his Medicare Advantage mailers and to also test the area for interest

in ancillary products. Initially, he said that his contact with the Complainant was minimal (1-2

minutes), and that he didn't go inside the home. He said his visit was not related to Medicare

Advantage plans, he was alone, he didn't have the Complainant sign anything, he didn't take an

application from her, and he quickly left.

10. After an off the record conversation with the investigator, the Licensee went back

on the record and admitted to going to the Complainant's home unannounced to sell a Medicare

Advantage plan, but later seco9-d guessed himself and destroyed the application without sending it

. in to Molina. He s_a:id that another insurance producer was present with him during the visit to the

Complainant's home.

11. The Licensee also executed a Declaration that stated he went to the Cc,mplainant's

home without scheduling an appointment, he believes he received a response from the

Complainant to his Medicare Advantage mailer, he completed a Molina Application for the

Complainant that she signed, but the Licensee later shredded it because he did not feel comfortable

that the Complainant fully understood everything they had discussed.

12. Investigations contacted the other insurance producer who the Licensee said

accompanied him to the Complainant's home, and the insurance producer said he had no memory

of an encouJ.?,ter between the Licensee and the Complainant.

13. RCW 48.17.530(1)(b) allows the Insurance Commissioner to pltl:ce on probation,

suspend, revoke, or refuse to issue or renew an insurance producer's license for violating any

insurance laws, or violating any rule, subpoena, or order of the Insurance Commissioner or of

another state's insurance commi~sioner. ORDER REVOKING LICENSE ORDER NO. 19-0054

LA - 15778D.7 - 1

3 State of Washington Office of the Insurance Commissioner POBox40255 Olympia, WA 98504-0255

14. RCW 48.17 .530(l)(h) allows the Insurance Commissioner to place on probation,

suspend, revoke, or refuse to issue or renew an adjuster's license, an insurance producer's license,

a title insurance agent's license, or any surplus line broker's license for using fraudulent, coercive,

or dishonest practices, or demonstrating incompetence, untmstworthiness, or financial

iITesponsibility in this state or elsewhere.

15 . 42 CFR § 4222.268(d) states that in conducting marketing activities MA

organizations may not solicit door-to~door for Medicare beneficiaries or through other unsolicited

means of direct contact, including calling a beneficiary without the beneficiary initiating the

contact.

16. By making an unsolicited contact about a Medicare Advantage plan, by repeatedly

providing false infonnation to the Insurance Commissioner's Investigator, by completing an

insurance application with a non-English speaking consumer without the use of an interpreter, and

by destroying an insurance application without notifying the applicant or the insurer, the Licensee

violated RCW 48.17.530( 1 )(b), 42 CFR § 4222.268(d), and RCW 48.17.530(1 )(h), justifying the

revocation of his license pursuant to RCW 48.17 .530(1 )(b) and RCW 48.17 .530(1 )(h) .

ENTERED at Tumwater, Washington, this __ 3_/_>_f_ day of Iq_ I\_""--r 1 OJrL~

, 2019.

MIKE KREIDLER Insurance Commissioner

Insurance Enforcement Specialist Legal Affairs Division

ORDER REVOKING LICENSE

ORDER NO . 19-0054

LA - 1577807 - I

4 State of Washington Office of the Insurance Commissioner PO Box 40255 Olympia, WA 98504-0255

NOTICE OF YOUR RIGHT TO A HEARING

If you are aggrieved by this Order Revoking License, you may demand a hearing in

accordance with RCW 48.04.010, WAC 284-02-070, and WAC 10-08-110. Generally a hearing

demand must be in writing and received within ninety (90) days after the date of this Order

Revoking License, which is the day it was mailed to you, or you will waive your right to a

hearing.

I/the Insurance Commissioner receives your demand/or a hearing before the effective

date listed on the order revoking your license, the revocation will be automatically stayed

(postponed) and your license will remain in effect pending the hearing.

You may fill out a demand for hearing form online at the following location: https://www.insurance.wa.gov/how-file-demand-hearing

Alternatively, if you choose to file by mail, your demand for hearing must briefly state

how you are harmed by this decision and why you disagree with it, along with contact

information (phone number, mailing address, e-mail address, etc.) for yourself and any

representative that appears on your behalf. The demand may be sent to the following address:

Hearings Unit Office of the Insurance Commissioner PO Box 40255 Olympia, WA 98504-0255

You will be notified of the time and place of your hearing. If you have questions about

filing a demand for hearing or the hearing process, please telephone the Hearings Unit at (360)

725-7002, or send an email to HearingsU@oic.wa.gov.

ORDER REVOKING LICENSE ORDER NO. 19-0054

LA - 1577807 - 1

5 State of Washington Office of the Insurance Commissioner PO Box 40255 Olympia, WA 98504-0255

CERTIFICATE OF MAILING

The undersigned certifies under the penalty of pe1jury under the laws of the state of

Washington that I am now and at all times herein mentioned, a citizen of the United States, a

resident of the state of Washington, over the age of eighteen years, not a party to or interested in

the above-entitled action, and competent to be a witness herein .

On the date given below I caused to be served the foregoing Order Revoking License on

the following individual by email and by depositing in the U.S. mail via state Consolidated Mail

Service with proper postage affixed:

Barton K. Herndon 5787 Airline Rd. Pavo, GA 31778 Hemdon.bmi@ gmail.com

Dated this _3 __ /_2!: ___ day of_C) __ _ ~----'---'-7-'--~---""+---' 2019, in Tumwater, Washington.

~:~ Legal Affairs Division

ORDER REVOKING LICENSE ORDER NO. 19-0054

LA - 1577807 - 1

6 State of Washington Office of the Insurance Commissioner PO Box 40255 Olympia, WA 98504-0255