El Paso

Clients claim Rey Estrada Insurance closed without warning, allegedly left uninsured

Clients claim Rey Estrada Insurance closed without warning, allegedly left uninsured

EL PASO, Texas - Clients of the Rey Estrada Insurance Company tell ABC-7 it closed its doors and shut off its phones without warning.

ABC-7 is looking into multiple complaints against the East El Paso company.

Robert Sandoval, a long-time client, has a copy of a check from his bank showing that the $478 he paid to Rey Estrada Insurance was cashed. However, he received a letter from the bank informing him his rental property was not insured.

Sandoval said he's known the Estrada family for decades and has always felt comfortable doing business with them. Sandoval he has not been able to contact anyone at the company for weeks. When he arrived at the business, he said he was shocked to see it had been closed. 

"I've been friends with the family for probably 20-plus years...I feel real hurt," Sandoval said. "There was no warning whatsoever. The only thing he would say was 'hey, we got you covered man. I already faxed over the information to the bank, so you're good to go.'"

ABC-7 checked the Texas Department of Insurance and found that Reymundo Estrada's insurance license expired January 30, 2017.

Sandoval said he doesn't know what to do or who to turn to.

"It's heartbreaking. Anything can happen," Sandoval said. "If my house burns down, I don't have any coverage."

Sandoval wasn't alone in his claims. Jimmy Ayala, a client of nearly 10 years, received a letter saying he didn't have insurance. Ayala provided the bills showing he had made his insurance payments. 

"We don't know if we have homeowners insurance or not," Ayala said. "Right now, I've got my wife and three adult children driving without insurance."

When ABC-7 arrived to Rey Estrada Insurance, there was a new sign announcing the coming of a new agency. The sign read "Empire Insurance." There is no record of Empire Insurance on the Texas Department of Insurance website.

"I'm not angry, I just feel cheated, lied to," Ayala said. "I was surprised to see other customers waiting, trying to see what's going on."

ABC-7 waited outside the former Rey Estrada insurance building for an hour on Tuesday. Six different people, who did not want to be interviewed on the record, showed up with similar complaints.

ABC-7 called Rey Estrada multiple times and did not hear back. ABC-7 also reached out to Estrada at his home, but no one answered the door.

 It is unclear if Estrada or anyone from the company is under investigation.

"It's shameful to steal money from people," Sandoval said.

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