Skip to content

Carrier Management

Critical Information for P/C Carrier Executives

Highlights

  • Does Spending More $ on Defense Reduce Indemnity?
  • Growth Going to be Hard: Abel Talks GEICO, Berkshire Tech ...
  • P/C Industry Loss Reserves Redundant by More Than $20B: ...
  • Carrier Management
  • C-Suite
  • News
  • Research
  • Leadership
  • Markets
  • Regulation
  • Top 50
  • Members Only
  • Join
  • Login
  • Boardroom Agenda
  • CEO / Chief Executive
  • CFO / Financial
  • Underwriting
  • CTO / Technology
  • Risk
  • Brand Management & Sales
  • Investment Officers
  • Claims / Legal
  • Talent Management
Platform Breach Downs Nearly 9,000 Colleges, Universities in the U.S.
Safety Agency Opens Probe into Startup Avride’s Autonomous Crashes in Texas
  • U.S.
  • International
  • Industry News
  • Government
  • Technology & Science
Wisconsin Recycling Firm Posts Unusual Speed Limit Sign
NASA Satellite Images Highlight How Fast Mexico City is Sinking

See all News

  • Executive Spotlight
  • Innovation
  • Strategy
  • Leadership
  • Performance
  • Growth Initiatives
  • Social Responsibility
Details TBD: Berkshire’s Jain, Abel Describe Tokio Marine Strategic Pact
Independent Agents Can Get Appointed to Sell Root Auto Insurance in One Day
  • Reinsurance
  • Emerging Markets
  • Global Economy
  • Personal Lines
  • Commercial Lines
  • Specialty
The Insurance Affordability Squeeze: Why Auto Carriers Are at an Inflection Point
Allianz Commercial Transitions Its Standalone Cyber Business to MGA Coalition
  • Insurance Regulation
  • Securities Regulation
  • Accounting & Tax
  • Rating Agencies
Grant Thornton: Insurers See AI Gains but Face Governance Gap
California Takes Action Against State Farm Over LA Wildfire Claims
Rational Market? How About ‘Dumb’ and ‘Bizarre’?
State Farm Paid a ‘Hail’ of a Lot of Claims in 2025
Executive Viewpoint: How AI Is Changing the Role of the Insurance Broker
Details TBD: Berkshire’s Jain, Abel Describe Tokio Marine Strategic Pact

See all Top 50

Executive View: AI Strategy in Insurance Requires Plug-and-Play Operating Model
How Insurers Are Using AI to Manage Rising Catastrophic and Accumulation Risk
AI for the Defense: Should Insurers or Law Firms Pay?
Executive Viewpoint: Why Insurers Are Struggling to Keep Pace With Risk

See all Members Only Content

Benefits

  • News for the P/C Insurance C-Suite - Focused reporting from reliable sources and experienced financial journalists.
  • Research and Analysis Not Found Elsewhere - Exclusive content from researchers think tanks, industry experts and respected analysts.
  • High-Profile Peers - Interviews with thought leaders in the global and U.S. insurance industry.

Online Access

Complete, unrestricted access to the popular CarrierManagement.com website, which provides insurance company C-suite executives with daily news, white papers, advice, instruction and editorial on how to manage insurance companies more efficiently and more effectively.

Wells Fargo, National General Face CA Regulatory Scrutiny in Auto Insurance Scandal

Print Email
August 8, 2017 by Suzanne Barlyn

California will investigate whether Wells Fargo & Co and an insurance company harmed hundreds of thousands of residents by selling them insurance they did not need, the state’s insurance regulator said on Tuesday.

California Insurance Commissioner Dave Jones said in a statement his department will look into so-called “force-placed” or “lender-placed” auto insurance underwritten by National General Insurance Co for customers with auto loans from Wells Fargo.

Wells Fargo declined to comment on the probe, while a National General representative could not be immediately reached for comment.

Unwanted auto insurance is the latest chapter in a months-long scandal over sales practices at Wells, where employees also created as many as 2.1 million deposit and credit card accounts in customers’ names without their permission.

The probe by California follows subpoenas issued by New York state’s banking and insurance regulator to two Wells Fargo units on Aug. 2.

The New York Department of Financial Services (NYDFS) is demanding Wells turn over loan contracts with New York borrowers, its financing agreements with auto dealers, and agreements between Wells units and insurers, among other details, according to copies of the subpoenas seen by Reuters.

Wells first became aware of potential problems a year ago, when the auto lending business began receiving an unusually high number of complaints, Franklin Codel, head of consumer lending, said in a recent interview.

The bank said it would refund about $80 million to an estimated 570,000 customers who were wrongly charged for auto insurance from 2012 to 2017, including roughly 20,000 whose vehicles were repossessed.

“Wells Fargo discontinued its Collateral Protection Insurance (CPI) program in September 2016 after finding inadequacies in vendor processes and our internal controls that negatively impacted some customers,” the company said in a statement.

National General was identified as an underwriter of the insurance in a report into the matter prepared for Wells by consultancy Oliver Wyman. The New York Times obtained a copy of the report.

Copyright 2026 Reuters. Click for restrictions.
Print Email
Claims / LegalCommercial LinesGlobal EconomyIndustry NewsInternationalLitigation/Liability TrendsMarketsNewsRiskThe C-SuiteU.S.Underwriting

Was this article valuable?

Thank you! Please tell us what we can do to improve this article.

Thank you! % of people found this article valuable. Please tell us what you liked about it.

Here are more articles you may enjoy.

NASA Satellite Images Highlight How Fast Mexico City is Sinking
Executive View: AI Strategy in Insurance Requires Plug-and-Play Operating Model
Berkshire, Cyber Risk and the Strait of Hormuz: Insurability Hinges on Price
New Study Suggests Federal Action to Cut Rising Insurance Costs

Related Articles

U.S. Regulator Faults Wells Fargo Over Auto Insurance Abuses: NYT Report
Wells Fargo Plan to Repay Customers Pushed Into Unnecessary Auto Insurance Reportedly Rejected by Regulators
Wells Fargo Will Fork Over $108M to Settle Lawsuit Over Veterans’ Loans
Another Wells Fargo Snafu: It May Have Harmed Customers by Closing Real Accounts
Wells Fargo Accused of Charging Improper Mortgage Fees in Proposed Class Action Lawsuit
New Wells Fargo Disclosures May Jeopardize $142M Customer Class Action Settlement
New York Regulators Seek Info From National General, Others in Wells Fargo Scandals
Wells Fargo Will Refund $80M to Customers Wrongly Charged for Car Loan Insurance
Another Wells Fargo Lawsuit, This Time Over Merchant Credit Card Fees
Wells Fargo Admits Discovery of 1.4M Additional Bogus Customer Accounts
Wells Fargo Customers Sue Bank, Alleging Insurance Scheme Was a Scam

Our Contributors

Sean VicenteThe Insurance Affordability Squeeze: Why Auto Carriers Are at an Inflection Point
Joseph PerelloBalancing Authenticity and Compliance in Creator-Led Insurance Marketing
Kurt DiederichExecutive View: AI Strategy in Insurance Requires Plug-and-Play Operating Model
Trindl ReevesFostering Talent Growth Through Generational Knowledge Transfer
Gina ReyesThe Adjuster Role Is Changing, and Training Needs to Account for It
Lenny LaRoccaThe Insurance Affordability Squeeze: Why Auto Carriers Are at an Inflection Point
See All Our Contributors

Free Newsletter

NewsletterSign up to receive daily news!

News

  • Platform Breach Downs Nearly 9,000 Colleges, Universities in the U.S.
  • Wisconsin Recycling Firm Posts Unusual Speed Limit Sign
  • Safety Agency Opens Probe into Startup Avride’s Autonomous Crashes in Texas
  • NASA Satellite Images Highlight How Fast Mexico City is Sinking
  • Allianz Commercial Transitions Its Standalone Cyber Business to MGA Coalition
  • Root Inc. Opens 2026 With Best Quarterly Net Income Ever at Nearly $36M

Research & Whitepapers

  • C-Suite
  • News
  • Leadership
  • Markets
  • Regulation
  • Top 50
  • Members Only
  • Videos

Headlines

  • Does Spending More $ on Defense Reduce Indemnity?
  • Growth Going to be Hard: Abel Talks GEICO, Berkshire Tech ...
  • P/C Industry Loss Reserves Redundant by More Than $20B: ...
  • How Modern is Modern Enough?

Resources

  • Videos / Podcasts
  • Contributors

Popular Topics

  • Boardroom Agenda
  • Technology
  • Financial
  • News

Brand Spotlight

  • Cotality
  • Cytora
  • HazardHub
  • Indico Data
  • Majesco
  • Verisk
  • Vertafore

Connect with us

  • Email Newsletters
  • Twitter
  • Facebook
  • LinkedIn
  • Do Not Sell My Info

Carrier Management

  • Submit Content
  • Advertise
  • Subscribe
  • Contact Us

Wells Media Group Network

  • Carrier Management iconCarrier Management
  • Insurance Journal iconInsurance Journal
  • Claims Journal iconClaims Journal
  • IJ Academy iconInsurance Journal Academy
  • Insurance Journal TV iconInsurance Journal TV
  • MyNewMarkets.com iconMyNewMarkets.com
© 2026 by Wells Media Group, Inc. Privacy Policy | Terms & Conditions | Site Map