Transamerica sued by policyholders over rate hikes
May 16, 2016 by CELIA AMPEL, DAILY BUSINESS REVIEW
Editor’s note: This article was originally published by the Daily Business Review, a sister site of LifeHealthPro, and is reprinted here with their permission. Click here for the original post.
Universal life insurance policyholders behind a multi-million dollar class action are asking a Miami federal judge to stop Transamerica Life Insurance Co. from drastically raising their monthly charges.
The lawsuit alleges Transamerica has increased cost-of-insurance charges to make up for low U.S. interest rates. Some customers’ premiums almost doubled, they claim.
The increases are “putting policyholders in the impossible position of having to immediately decide whether to pay the increased premiums, see the increased charges deducted from their policies’ accumulation value or surrender their policies altogether,” said a motion for preliminary injunction filed May 4. Click HERE to read more…
