N.J. insurance agent gives up license for over prohibited policy sale

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A New Jersey man surrendered his insurance license in Pennsylvania after regulators in that state found evidence he allowed a company prohibited from selling policies since 2006 to write coverage.

The man, identified as Francis Vincent Froio Jr., who lives in Hamilton, N.J., and operates a business in the 2000 block of Fairmount Avenue in Philadelphia, surrendered his license in October, according to Pennsylvania Insurance Department records.

Records indicate that Froio in March 2010 allowed South Penns Inc., an insurance agency located in the 20200 block of S. 13th Street in Philadelphia, to falsify an application and proof of insurance for a customer. Froio knew the unidentified customer was previously with American Independent Insurance Co., but allowed South Penns to knowingly list the customer as with Progressive to circumvent Allstate’s risk management policies, records indicate.

On April 10, 2006, South Penns had its Pennsylvania insurance license revoked and its principals were ordered not to sell insurance policies in the state again.

In the more recent incident, investigators found evidence that South Penns falsified the Progressive proof of insurance to document to conceal his falsification of the customer’s application, records show.

Froio admitted to investigators that he allowed South Penns to conduct insurance business on his behalf, according to the order noting Froio’s license surrender.

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