Complaint Review: Sebrite Agency

On July 11, 2007, I was contacted via telephone by Kenneth Merrit, an employee of a company called Professional, also known as Pro Star, a medical insurance provider, as Mr. Merrit indicated to me. Mr. Merrit stated that my family and I could have full and complete medical coverage for a mere $299.00 on a monthly basis through a company called Sebrite Agency, Inc., located at 5421 Feltl Road, Suite 140, Minnetonka, Minnesota 55343. After several additional telephone calls during the course of that week, I ultimately decided to enroll my family and I as members in order to have full and complete medical coverage through Sebrite Agency, Inc. At that point, Mr. Merrit indicated that I would have a pay an initial enlistment fee of $125.00, in addition to the first month's payment of $299.00 so that my membership can immediately become active. I was then contacted by an employee of Sebrite Agency, Inc., who took my credit card information over the telephone. That individual also confirmed to me that my family and I would have full and complete medical coverage upon paying the total fee of $424.00. That individual also indicated that, from that point onward, my credit card would automatically be billed in the amount of $299.00, the monthly fee to maintain full and complete medical coverage.

In addition, prior to enrolling in the insurance plan being sold to me by Mr. Merrit and Sebrite Agency, Inc., I provided Mr. Merrit with a list of physicians and health centers that my family and I routinely visit. For each designated name, Mr. Merrit indicated that my co-payment would be a mere $25.00. During that telephone call, I advised Mr. Merrit that my family and I preferred to go to a health clinic called Hudson Headwaters Health Network. Mr. Merrit specifically stated that my co-payment to Hudson Headwaters Health Network would be only $25.00 and that I would not be personally liable for any additional amount that the health clinic could bill.

I then provided Mr. Merrit with the name of a prescription medication my eight year old son takes on a daily basis, Concerta 36 milligrams. Mr. Merrit instantaneously stated how I would only have to pay the pharmacy a total of $30.00 for this medication. Mr. Merrit again asserted, without equivocation, that he guaranteed I would not have to pay any pharmacy an additional amount of money for this medication. He guaranteed this at my behest because I expressed a significant amount of skepticism. At that point, I had no reason whatsoever to doubt or challenge Mr. Merrit's clearly expressed guarantees.

On August 11, 2007, I took my ten year old daughter, Brianna Chang, to Hudson Headwaters Health Network and paid the co-payment fee of $25.00. On November 13, 2007, I received a statement from Hudson Headwaters Health Network indicating that I personally owed them $229.00 because the insurance company only paid them $30.00 out of the entire claim. Therefore, I would be responsible for the full balance of $229.00. I was absolutely shocked and immediately tried to contact Mr. Merrit, only to discover that his telephone number was no longer in service. In fact, the company he stated he worked for, Professional, also known as Pro Star, was no longer in business. I was immediately dumbfounded and appalled.

On November 14, 2007, at approximately 11:30 am, I contacted Sebrite Agency, Inc., at 1.800.366.6466, in an attempt to ascertain why Hudson Headwaters Health Network was only being paid $30.00 out of an original claim for $284.00. This is the telephone number that is listed on my insurance card for any type of customer service issue. I spoke to an individual named Cody Kottke, who stated to me that he was employed by Sebrite Agency, Inc. and had the full and complete authority to discuss my policy with me.

Upon providing Mr. Kottke with my Member Identification Number, I asked him about Mr. Merrit and the company he worked for. Mr. Kottke immediately stated to me how Sebrite Agency, Inc. was forced to previously send Mr. Merrit and Professional, also known as Pro Star, a Cease and Desist letter because that company had engaged in widespread deceit and fraud in enrolling members such as myself. Mr. Kottke intimated how his company had received a copious amount of complaints from other members because of the dishonest and, outright, illegal tactics and promises offered by Mr. Merrit and Professional, also known as Pro Star. A Cease and Desist letter is defined by the online encyclopedia Wikipedia as:

a legal letter used primarily in the United States which essentially means to halt or to end an action (cease) and to refrain from doing it again in the future (desist). The recipient of the cease-and-desist may be an individual or an organization with the intent to halt an illegal activity.

This alarming revelation by Mr. Kottke is paramount in terms of the proverbial Smoking Gun and is tantamount to explicit fraud and deceptive business practices, both of which are deemed unlawful in any jurisdiction. Mr. Kottke further explained that is why Mr. Merrit and his employer were no longer in business. As such, Mr. Kottke indicated that he was going to refund all of the monies I had paid to date for the subject fraudulent medical insurance plan. Mr. Kottke stated that all he needed from me were faxed or emailed duplicates of my credit card statements since the inception of the subject plan to document the amounts of money I had paid. He then promised me that I would receive my refund check in approximately two weeks from that day. Mr. Kottke also sent me, via electronic mail, a cancellation form he stated that he had previously prepared since he had been receiving a plethora of similar complaints. He instructed me to sign the cancellation form and to immediately send it back to him. Of course, I complied. After concluding our conversation, I scanned my credit card statements and sent them to Mr. Kottke via PDF.

On November 28, 2007, after not receiving my promised refund check, not receiving any electronic mail or hearing from Mr. Kottke, I called him. Mr. Kottke apologized for not handling this matter in an expeditious manner and asked me to again send him all of my credit card statements documenting the monies I had paid for this fraudulent insurance plan. I sent Mr. Kottke, via electronic mail, scanned photocopies of my July 2007, September 2007, October 2007 and November 2007 credit card statements. He then promised me I would receive my refund check, in the amount of $1,321.00, in two days.

On November 30, 2007, I sent Mr. Kottke electronic mail inquiring about the status of my refund check. Within two hours, Mr. Kottke wrote back stating, in part, .as soon as she get's (sic) in I will have her cut the check. Once again, I am annexing this communication for your convenience.

After not receiving the promised refund check, I called Mr. Kottke on December 5, 2007 and left him a detailed message. On December 6, 2007 I sent Mr. Kottke electronic mail, once again, inquiring about the promised refund check. I called him repeatedly and sent him numerous electronic inquiries from December 7, 2007 through December 14, 2007. To date, I have not received my promised refund check from Mr. Kottke or Sebrite Agency, Inc.

Moreover, on September 24, 2007, my wife brought my son's prescription for Concerta 36 milligrams to CVS Pharmacy, only to be informed that the cost of this medication would be $117.00, even though Mr. Merrit previously informed me that the cost for this exact medication would be $30.00. In fact, after visiting several pharmacies within a twenty mile radius I discovered that every single pharmacy, including Target, Walgreens, Rite-Aid, Wal-Mart, etc. charged analogous rates for this medication because of the type of insurance I was sold. I was then informed, after speaking to multiple pharmacists, that I would never be able to pay only $30.00 for Concerta 36 milligrams, solely because my insurance plan does not cover this type of medication. This is completely contrary to what Mr. Merrit and Sebrite Agency originally promised me.

It has become quite apparent that Sebrite Agency, Inc. recognized how Mr. Merrit and Professional, also known as Pro Star, intentionally and recklessly engaged in fraudulent and deceptive business practices and that is why said company severed any and all its ties with Mr. Merrit and Professional, also known as Pro Star.

I know the foregoing information I have provided is clarion for a prima facie showing of fraud and bad faith on the part of Kenneth Merrit, Professional, Pro Star, Cody Kottke and Sebrite Agency, Inc. Unfortunately, I am unable to recoup most of the monies I have heretofore paid to these individuals and/or business entities because my credit card company has a "60-day" financial dispute rule, which means that I can only "dispute" the $598.00 charged to me for the last two months of this sham policy.

I guess, that is how the cookie crumbles when you become a vulnerable and unwitting victim of willful and illegal fraud.

Sean
College Point, New York
U.S.A.