Florida Insurance Agent Faces Embezzlement Charges Following Lawsuits

Florida authorities have made a significant arrest in the insurance industry, as well-known southwest Florida insurance agent Reid McDaniel has been charged with larceny and embezzlement of premiums. This arrest comes after a series of troubling events involving McDaniel, including a negligence lawsuit from a policyholder and a sexual assault complaint from an employee.

McDaniel, 33, who was named the honorary mayor of North Fort Myers last year, was booked into jail by the Lee County Sheriff’s Office on Thursday. The charges against him stem from an alleged embezzlement of more than $20,000 but less than $100,000, according to the arrest record. The Florida Department of Financial Services received a complaint from a business owner who claimed to have paid McDaniel Insurance Solutions over $22,900 in premiums for two insurance policies in October. However, the carriers canceled the policies for non-payment, leading to the investigation and subsequent arrest of McDaniel.

Despite his prominent position in the community and his involvement in local events, McDaniel’s actions have raised serious concerns. His office space on Hancock Bridge Parkway was recently taken over by a neighboring business, with the McDaniel Insurance Solutions sign being dismantled. McDaniel had been featured in local TV news reports discussing Florida property insurance issues, showcasing his knowledge and expertise in the field.

The Florida Department of Financial Services license page reveals that McDaniel held various insurance licenses, including general lines/property and casualty agent’s license, a life and health agent license, and an adjuster’s license. He was actively appointed with 38 national and Florida-admitted property insurance carriers, highlighting his extensive reach in the industry.

However, McDaniel’s troubles began to surface last year when an elderly policyholder won a judgment of $198,543 against him in Lee County Circuit Court. The policyholder had paid premiums for a mobile home policy with Lloyd’s of London, but McDaniel failed to secure the coverage, leaving her vulnerable after Hurricane Ian struck the area in 2022. Additionally, a sales agent hired at McDaniel’s agency in 2022 filed a lawsuit alleging inappropriate behavior, further tarnishing McDaniel’s reputation.

McDaniel’s background reveals a career shift from the hotel business to the insurance industry, with previous experience in Indiana before establishing his agency in the Fort Myers area in 2021. Despite his past successes, the recent events surrounding McDaniel have cast a shadow over his professional conduct and integrity.

As the case unfolds, it serves as a cautionary tale for both insurance agents and policyholders, emphasizing the importance of transparency, accountability, and ethical behavior in the insurance industry. The repercussions of McDaniel’s alleged actions highlight the need for vigilance and due diligence when dealing with insurance professionals, underscoring the significance of trust and reliability in the insurance sector.