Life Insurance

USAA Cost of Insurance Settlement

USAA Life Insurance Company is paying $90 million to settle a class action alleging that it violated its own policy terms in deducting the cost of insurance (COI) for certain Universal Life 1, 2, 3, and 4 policies. The complaint made three allegations: (1) USAA used factors other than those specified in the policy to  Read more

Cinergy Health Group Term Life Insurance Scheme Class Action

This class action concerns association term life insurance certificates bought from Cinergy Health, Inc. (which does business as Cinergy Health & Life Insurance Agency). The certificates were underwritten by Companion Life Insurance Company and issued through Companion or the National Congress of Employers, Inc. (NCE). The complaint alleges deception in the sale and marketing of  Read more

Accordia Life Insurance Policy Administration Settlement

This settlement resolves a class action against Accordia Life & Annuity Company and Alliance-One Services, Inc. The complaint alleged that certain life insurance policies (the Covered Policies) were not properly administered after an event called the Conversion, when they were transferred to Alliance-One’s system. These errors included things like errors in calculating the policies’ values,  Read more

AmGen Criteria for Determining Policy Interest Rates California Class Action

At issue in this case are the interest rates paid on California universal life insurance policies from American General Life Insurance Company (AmGen). The complaint alleges that the insurance earned by these accounts are too low and that the rates are not based, as the policies promise, solely on the company’s expectations of future investment  Read more

Equitable Life Insurance “Twisting” Policy Sales Class Action

This class action brings suit against AXA Equitable Life Insurance Company for “twisting.” In this process, the complaint says, the company and its brokers “trick life insurance customers into replacing their existing whole life policies into more costly Equitable universal life insurance policies that [have] lower rates of return and higher risk.” According to the  Read more

Investigation: Index Universal Life Policy Marketing May Offer Too Much

Do you have an Indexed Universal Life (IUL) life insurance policy? Are you getting the kind of increases in your account value that you saw in the marketing materials for the policy? We’re investigating to see if insurance companies have been promising more than their IUL policies are likely to deliver.  Read more

Northwestern Mutual Life Insurance Company Payment Fee Settlement

Northwestern Mutual Life Insurance Company will be paying well over half a million dollars to settle a class action alleging that it charged some customers extra fees, depending on the way they chose to pay their monthly premiums. The complaint alleges this is a violation of New York law.  Read more

Jackson National Life Insurance Increases in COI Class Action

The complaint for this class action brings suit against the Jackson National Life Insurance Company, alleging that it has breached the terms of its agreements with customers. The complaint claims that the company made customers pay “inflated monthly charges for cost of insurance (‘COI’) that are not allowed by the plain language of their insurance  Read more

Transamerica Life Insurance Policies Increase in MDR Settlement

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  Read more

Wilco Life Insurance Improper Cost of Insurance Increase Class Action

Insurance companies are limited in their ability to raise rates on their existing policies. In this class action, the complaint alleges that Wilco Life Insurance Company improperly imposed a rate increase on Form CLIC-3002 policies. The complaint alleges, “Wilco breached the implied and express terms of the policies and misleadingly stated that the increases were  Read more