William Reed Jenkins III (Jenkins) was allowed as a result of a plea agreement with the U.S. Attorney to plead guilty to only two counts of wire fraud in violation of 18 U.S.C. ? 1343, when he admitted to being involved in multiple actions involving a possible loss to the insurers defrauded in excess of $20 million. The district court sentenced him to 70 months' imprisonment. Jenkins appealed his sentence, arguing that the district court did not apply the appropriate sentencing enhancements because he only intended to defraud the insurers of a smaller amount than the evidence showed.

The Eighth Circuit Court of Appeal affirmed the sentence in United States v. Jenkins, 578 F.3d 745 (8th Cir. 08/24/2009), proving that an insurance agent committing fraud against the insurers he represented should not expect mercy once caught and convicted. Any agents presented with a get-rich-quick scheme should consider whether they would be so lucky as to only receive a 70-month sentence.

Jenkins served as a licensed insurance agent in California, selling life insurance policies for the Life Investors Insurance Co. of America ("Life Investors") and the Fidelity and Guaranty Life Insurance Company ("Fidelity"). Jenkins helped clients prepare their life insurance applications, and he submitted completed applications by facsimile to the insurers' home offices in Cedar Rapids, Iowa (Life Investors), and Baltimore (Fidelity). The insurers compensated Jenkins by paying him a commission on each policy sold or renewed, usually a percentage of the policy's yearly premium.