American Dream Auto Protect Cease-and-Desist Order for Unlicensed Warranty Sales

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Commissioner Mike Yaworsky Cracks Down on Company Operating Without a Required License and Warns Consumers of Unlicensed Activity

Feb 17, 2026, 11:28
by
Shiloh Elliott OIR is also issuing a new website highlighting unauthorized entities to warn consumers.

TALLAHASSEE,
Fla.— Florida Insurance Commissioner Mike Yaworsky is ordering an
extended auto warranty company to cease business in Florida for operating
without a required license. American Dream Auto Protect entered into motor
vehicle service agreements with Florida residents without a license or approval
from the Office of Insurance Regulation. To protect the public and reduce
consumer disruption, American Dream must continue to administer in-force auto
warranties in compliance with Florida law, allow consumers to cancel the
warranty coverage and obtain a refund, and pay claims in accordance with
Florida law. OIR is demanding American Dream to notify consumers by sending
them a copy of the consent order and publish the consent order on American
Dream’s website to make sure consumers are aware.

OIR
strongly encourages consumers to exercise due diligence when purchasing
insurance or insurance-related products. To help consumers, OIR is issuing a
new website highlighting unlicensed activity found
by OIR. Commissioner Yaworsky urges consumers doing business with any company
operating without a required license to consider switching business to
appropriately licensed entities. When an entity operates without authorization,
it not only violates state law but also puts consumers at significant financial
risk, as unlicensed entities may not have the financial stability, reserves, or
regulatory oversight necessary to guarantee claims payment.

“Floridians
have a right to know that when they entrust an insurance company with their
money, that the company is acting in good faith,” said Chief Financial Officer Blaise
Ingoglia. “There is no excuse for defrauding Floridians. I have
made it one of my core missions to be an advocate for policyholders and I will
continue to work with the Office of Insurance Regulation to hold bad actors
accountable.”

“The
Office of Insurance Regulation takes reports of unlicensed activity seriously.
Consumers should feel confident that their coverage purchased is legitimate and
regulated,” said Commissioner
Mike Yaworsky. “I urge consumers to do their research before
entering into a contract and use our Office’s resources to guarantee products
are from appropriately licensed entities. We will continue to blast any company
that blatantly disregards state law and will strongly advise consumers to find
a better option.”

OIR issued and served American Dream with a Complaint to cease-and-desist
from engaging in unauthorized and unlicensed business of motor vehicle service
warranty agreements in Florida. The company reported nearly 900 in-force
contracts and over $2.2 million in unearned written premiums. The company also
unsuccessfully attempted to sell the remaining books of business. There are
reportedly 600 in-force contracts remaining and 80% of the residual contracts
are set to expire within the next 18 months.

In
Florida, an unlicensed or unauthorized insurance entity refers to any
person or business that engages in the business of insurance without first
obtaining the necessary licensure or authorization from OIR. This includes
selling, soliciting, negotiating, or advertising insurance products or
insurance-related coverages—such as service contracts, extended warranties, or
health benefit plans. OIR actively investigates reports of unlicensed
activity. To view OIR’s new consumer website and review recent unlicensed
activity gathered by OIR, click here.

To view
the Consent Order against American Dream, click here.

To
search for licensed insurers and entities, visit OIR's active company database here.

About the OIR

The Florida Office of Insurance Regulation (OIR) has primary responsibility for regulation, compliance, and enforcement of statutes related to the business of insurance and the monitoring of industry markets. For more information about OIR, please visit our website or follow us on X @FLOIR_comm.