When most people hear the term “life insurance fraud,” they likely imagine shocking news stories of people who faked their own deaths to collect on life insurance policies. But the truth is, insurance fraud is much more likely to happen within the insurance industry, by deceitful insurers and insurance agents.
If you’ve received a letter, call, or email from your insurer telling you that your policy premiums or insurance costs are significantly increasing, you may be wondering what steps you can take to protect your family’s best interests. While the reasons for these increases are supposedly out of the company’s control, policyholders like you may be the victims of insurance fraud, and have legal rights to compensation.
Our experienced insurance fraud lawyers are ready to investigate your life insurance policy rate increase. There’s never a fee for legal services unless we collect for you, and we’re here to investigate your potential claim today. Call or contact us online for a free, no-obligation evaluation of your case.
What is Life Insurance Company Fraud?
Some universal life insurance policy providers are substantially raising premiums for customers who purchased their policy decades ago, in order to avoid paying out the guaranteed monthly interest payments. Many of these customers had been assured by their insurance agents that their premiums would never increase. These increases are seldom justified, and if you are affected by rising premiums, our life insurance fraud attorneys may be able to reverse the charges, or reinstate your policy if you were forced to surrender it due to the rising premium costs.
Universal life policies comprised a quarter of all life insurance policies purchased during the 19080s and 1990s, and potentially millions of people could be affected by premium hikes.
Did Your Life Insurance Premiums Increase Suddenly?
If you received a notice that your universal life policy’s cost of insurance or premiums are significantly increasing, you were probably given three options:
- Cancel the policy you’ve paid into for years.
- Pay two — or even three times — the cost for the same policy.
- Wipe out the life insurance policy savings you’ve accumulated.
Before you make any changes to your policy—contact our law firm first. We’ll listen to your story and investigate your life insurance increase, so you don’t have to pay for an insurance company’s fraud or their business mistakes.
Which Life Insurance Providers Are Fraudulently Raising Premiums?
Insurance providers who are under investigation for their fraudulent policies may include:
- AXA Equitable
- Lincoln National
- John Hancock Life
- Banner Life
- State Farm
- VOYA Financial
- And More
How to Find a Reputable Life Insurance Company
Before purchasing a life insurance policy, be sure to investigate the company through the Tennessee Division of Insurance. You’ll be able to verify an insurance company or agent’s license, and see whether any complaints have been filed against them.
What are Other Examples of Life Insurance Fraud, Scam, or “Bad Faith” Dealings?
There are many ways in which insurance companies and agents can attempt to defraud customers, including:
- Insurers who use deceptive marketing material, change policy terms after sign-up, or misrepresent the policy provisions
- Agents who sign you up for additional coverage you don’t want or need without your consent
- Agents who pocket your premium payments for themselves
- Insurers who attempt to rescind the policy past the incontestability clause date
- Insurers who cause unreasonable delay in paying a claim
Helping Insurance Fraud Victims Nationwide
If your universal life insurance costs suddenly increased, your insurance company may be taking advantage of you for its own benefit. Fighting fraud is an important part of our mission to protect victims’ rights, and we want to help ensure you get the fair treatment you deserve. Call or fill out a free initial consultation form to get started.