Phony CP insurance agent sentenced to over a year in prison

Marlon Underwood, 49, was indicted by a federal grand jury in 2021 for tricking a Maryland insurance firm to pay him for insurance policies he sold to Northwest Indiana residents.

Chief Judge Jon DeGuilio delivered Underwood’s sentence. Underwood was represented by attorney Darnail Lyles. 

The indictment states that Underwood was not a licensed insurance agent, but he worked with one, who was unnamed in charges as part of Underwood’s plea agreement.

Underwood allegedly collected personal, medical and bank information from Region residents to submit life insurance policy applications to insurance companies. Though some of the applications were legitimate, charges state, Underwood “also submitted insurance applications for customers who did not authorize the applications.” 

Underwood received $842 from some of these unauthorized applications, as many insurance companies offer commission before policyholders pay for premiums. 

In his plea agreement, Underwood agreed that he visited an East Chicago home and convinced an elderly couple to apply for life insurance in September 2018. He then purportedly used that couple’s information and used it to apply for other insurance policies, without their knowledge. 

Underwood was initially charged with mail fraud, aggravated identify theft, fraud and identity theft, according to court records. The aggravated identity theft charge and the mail fraud charge were both dropped as a result of Underwood’s plea agreement.