Transamerica Life Insurance Policies Increase in MDR Settlement

Settlement Structure: Claims Made

Active: Open

Case Summary:

Transamerica Life Insurance Company is putting up $88 million to settle a class action alleging that the company improperly raised the Monthly Deduction Rate (MDR) on certain of its life insurance policies. The complaint alleged that the increases were not allowed under the terms of the policies. The policies in question were the TransUltra 115 98/99 and the TransSurvivor 115 97/98/99.

Docket Number:

2:18-cv-05422 CAS (GJSx)

Company: Transamerica Life Insurance Company

Filing Deadline: January 1, 2100

Objection Deadline: August 3, 2020

Exclusion Deadline: August 3, 2020

Final Approval Hearing: August 31, 2020

Proof of Purchase:

No claim forms or proof are necessary.

Eligibility:

You may be eligible if you are a person or entity who owned one of the TransUltra 115 98/99 or the TransSurvivor 115 97/98/99 policies as of December 31, 2019.

Typical Settlement Amount:

Minimum payment $200. Those with in-force policies will be paid by a credit to their policy’s accumulation value. Those with a death claim on terminated policy will receive their payment by check. The MDR increases will remain in effect, but Transamerica has agreed not to impose any additional increases on class policies within seven years of the settlement agreement unless ordered to do so by a state regulatory body.

Total Settlement Amount: $88 million

Class Representative Proposed Incentive Fee:

$10,000

Law Firms:
Bonnett Fairbourn Friedman & Balint
Consumer Watchdog
Moskowitz Law Firm PLLC

Case Name: Thompson v. Transamerica Life Insurance Company

Settlement Website: Transamerica Life Insurance Policies Increase in MDR Settlement Website

Claims Administrator:
Rust Consulting, Inc.

Claims Administrator Contact Information:

Rust Consulting, Inc.
Settlement Administrator
Thompson v. Transamerica – 6975
PO Box 44
Minneapolis, MN 55440-0044
info@thompsonsettlement.com
1-877-740-6999

Tags: Increase in Monthly Deduction Rate or Similar, Insurance, Life Insurance