Two Destin Men Indicted Over Alleged Unlicensed Insurance Sold to Watersports Businesses

Published Oct. 29, 2026. Case statuses are current as of that date.

A boat rental or jet ski outfit can't operate without insurance. Florida regulators say two Destin men took advantage of that need, selling coverage to local watersports and marine-livery businesses through companies that never had a license to sell insurance, then failing to pay claims and keeping the premiums.

Christopher Jason Brossett, 45, and Brady Allen Howard, 59, both of Destin, Florida, have now been indicted in federal court on seven counts including conspiracy to commit wire fraud and wire fraud, the U.S. Attorney's Office for the Northern District of Florida announced on Oct. 28, 2026 [1]. Brossett also faces two counts of money laundering.

Important: Neither man has been convicted. The U.S. Attorney's Office said: "An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial" [1].

How the scheme allegedly worked

The federal release does not describe the alleged conduct. The details below come from the Florida Office of Insurance Regulation (OIR), which ordered the companies to stop operating, and from Insurance Journal's reporting on that order [2] [3]. The federal indictment's exact allegations may differ.

According to OIR [2]:

1. No license. A market conduct examination found that Hydrogen Deep, LLC, doing business as The Wave Insurance, operated without the required license. OIR identified Brossett as the owner of Hydrogen Deep and Howard as the owner of The Wave Insurance.
2. Looking like a real insurer. The Florida Department of Financial Services and OIR's Market Conduct team found that the two men operated under fictitious company names and provided insurance policy quotes, collected premiums, issued insurance binders, solicited business and provided certificates of insurance.
3. The customers. They solicited watersports and marine-livery business owners in the Destin area and entered into insurance contracts with them.
4. Concealment. Regulators said the men misrepresented or concealed the true nature and legitimacy of the insurance products.
5. No claims paid. They failed to pay claims, OIR said.
6. The money. They collected more than $100,000 in premiums and permanently diverted the funds for personal use, according to OIR.

Insurance Journal reported that the entity was described as "The Wave Risk Retention Group" in OIR's order, which was dated Aug. 28, 2026. Risk retention groups are a type of liability insurer, but the outlet reported that OIR had no record that Hydrogen Deep or The Wave was ever granted a certificate of authority in Florida [3].

The people charged and their status

Christopher Jason Brossett, 45, of Destin [1]

• Federal charges: Conspiracy to commit wire fraud and wire fraud (part of a seven-count indictment), plus two counts of money laundering. He faces up to 20 years on the conspiracy and wire fraud counts and up to 10 years on the money laundering counts.
• State case: OIR said the Okaloosa County Sheriff's Office arrested him in June 2026 for grand theft while acting as an insurer and transacting insurance without a certificate of authority or license [2]. The outcome of the state charges is not stated (status pending).

Brady Allen Howard, 59, of Destin [1]

• Federal charges: Conspiracy to commit wire fraud and wire fraud (part of the seven-count indictment). He faces up to 20 years.
• State case: OIR said the Okaloosa County Sheriff's Office arrested him in July 2026 for conspiring with Brossett to commit grand theft and operate a business without a proper certificate of authority [2]. Insurance Journal reported that Howard is a licensed insurance producer appointed with one life insurer but not with a property-casualty company [3].

Both men were arraigned before U.S. Magistrate Judge Hope T. Cannon. A jury trial is set for Dec. 14, 2026, before U.S. District Judge M. Casey Rodgers. IRS Criminal Investigation and the Florida Department of Financial Services' Bureau of Insurance Fraud investigated, and Assistant U.S. Attorney Jeffrey M. Tharp is prosecuting [1].

Insurance Journal reported in September that it could not reach either man for comment [3].

Red flags

These are general warning signs of this kind of scheme; not every one is alleged in this case.

• An insurer you can't find in your state's licensed-company database.
• A quote that's much cheaper than established carriers for the same coverage, especially for hard-to-insure risks like watersports.
• Paperwork that looks official but vague: binders or certificates without a clear, verifiable carrier name, policy number or state license.
• A website with almost nothing on it. Insurance Journal reported The Wave's site said only "coming soon" [3].
• Delays or excuses when you file a claim.

What to do if you're targeted

1. Verify before you buy. In Florida, search OIR's company database and check agents with the Department of Financial Services. Other states have similar lookups through their insurance departments.
2. Ask your agent which company is actually on the risk, and confirm it with the insurer directly.
3. If you think your policy is fake, get replacement coverage from a licensed carrier right away so you're not operating uninsured.
4. Report it. In Florida, call the Division of Consumer Services at 1-877-MY-FL-CFO, as OIR advises [2]. Elsewhere, contact your state insurance department and the FTC at ReportFraud.ftc.gov.

Case status (as of Oct. 29, 2026)

Defendant	Court	Status	Source
Christopher Jason Brossett, 45, Destin, Fla.	U.S. District Court, Northern District of Florida	Indicted (wire fraud conspiracy, wire fraud, money laundering); arraigned; jury trial set Dec. 14, 2026; presumed innocent. State charges after June 2026 arrest: status pending	[1] [2]
Brady Allen Howard, 59, Destin, Fla.	Same	Indicted (wire fraud conspiracy, wire fraud); arraigned; jury trial set Dec. 14, 2026; presumed innocent. State charges after July 2026 arrest: status pending	[1] [2]
Hydrogen Deep, LLC, d/b/a The Wave Insurance	Florida Office of Insurance Regulation	Ordered to cease and desist (order dated Aug. 28, 2026, announced Sept. 28)	[2] [3]

Statuses can change.

Sources

1. U.S. Attorney's Office, Northern District of Florida, "Two Men Face Federal Charges For Fraudulent Insurance Scheme," Oct. 28, 2026. https://www.justice.gov/usao-ndfl/pr/two-men-face-federal-charges-fraudulent-insurance-scheme
2. Florida Office of Insurance Regulation, "Insurance Commissioner Mike Yaworsky Orders Immediate Cease and Desist Against Company for Unlicensed Activity," Sept. 28, 2026. https://www.floir.gov/newsroom/archives/item-details/2026/09/28/insurance-commissioner-mike-yaworsky-orders-immediate-cease-and-desist-against-company-for-unlicensed-activity
3. Insurance Journal, "Florida OIR Orders Unlicensed RRG to Cease and Desist After Owners Arrested," Sept. 29, 2026. https://www.insurancejournal.com/news/southeast/2026/09/29/887127.htm

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