BISMARCK – A Fargo insurance agent has been fined $136,500, and his license to sell insurance in North Dakota was placed on probation for four years for violating the state’s rebating laws. The laws prohibit insurance agents from providing gifts valued at more than $100 per year to clients or potential clients.

Tyler Bjerke was penalized following an investigation by the North Dakota Insurance Department. In a news release, the department stated it was uncovered that Bjerke gifted 182 pub-style tables to clients and potential clients, calculated to have a retail value of $213.95 per table.

As part of a settlement agreement, Bjerke was penalized for the tables.

The investigation also discovered Bjerke hosted a Sawyer Brown Band concert in February 2023 with free admission to clients and potential clients, calculated by the department to exceed the $100 limit. Prosecution of the 2023 event was deferred under the conditions of Bjerke’s probationary license.

“Licensed agents are prohibited from providing high-value gifts to consumers because it essentially boils down to bribing clients for business. Insurance should only be sold based on the competitive coverage options and premiums offered by an agent, not by those who can offer kickbacks in exchange for business,” said Insurance Commissioner Jon Godfread.

Producers may offer value-added products or services designed to mitigate risk, reduce claims, provide education or enhance health or financial wellness. Concert performances or pub tables, in this instance, do not qualify under these provisions, according to the department.

The $136,500 fine imposed on Bjerke is the largest fine the North Dakota Insurance Department has levied on a licensed agent.