California Decisions Kick Off Parade of Life Insurance Lapse Notice Cases Life, Annuity, and Retirement Litigation | Life, Annuity, and Retirement Solutions | Financial Services Regulatory | January 11, 2022 In our May 2021 issue, we discussed the rise in life insurance policy lapse notice cases in California following the state’s 2013 enactment of California Insurance Code sections 10113.71 and 10113.72. These statutes establish a 60-day grace period after a missed premium and require insurers to notify policyowners, as well as persons designated by the policyowners to receive notice, at least 30 days before terminating a policy due to a payment lapse. The laws prevent an insurer...
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Universal, Whole, and Term Life Insurance Insurance Center Associates offers universal, whole, and term life insurance as well as long term care, health insurance, and disability insurance. Protect yourself and your family from the uncertainties of life with a life insurance policy that fits your needs. Universal Life Universal life insurance policies are long term products that accumulate cash values. They are subject to interest rates, and other factors that can be explained by one of our experienced agents. Whole Life This policy is the “original” long term life insurance with a twist. You can now buy long term policies with both cash value or premium guarantees at a very...
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When Life Insurance Becomes Taxable According to the most recent estimates from the US Census Bureau, the population of people over the age of 55 grew twenty times faster than the population of people younger than 55 between 2010 and 2020. The fastest growing age group was people between the ages of 65 and 74, who experienced a nearly 50% increase in growth in those 10 years. Living this long may have unexpected tax consequences. Here’s why. Many older life insurance policies mature at a specific age, typically 95 or 100. If the insured individual attains that age, the policy’s cash value may be paid out to the policy owner in lieu of a death benefit payment.² Tracking...
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In Workman v. Dearborn National Life Insurance Company , No. 20-55182, 2021 WL 6140042 (9th Cir. Dec. 29, 2021), the Ninth Circuit considered whether the California Insurance Code requires a life insurance carrier to pay interest on unpaid death benefits for amounts unpaid within 30 days of the insured’s death or within 30 days of when a claim for the proceeds is submitted. Appellant Lovada Workman was the beneficiary of an ERISA-governed life insurance plan held by her former husband who died in 2002. Appellee Dearborn National Life Insurance Company administered the plan. The plan requires a written notice of claim to be filed within 20 days of the insured’s death, but Workman did not...
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California Life Insurance Fraud & Scams Attorney Due to physical and mental ailments, elderly people can be some of the most vulnerable members of society, making them easy targets for financial predators. Unfortunately, predators can include business professionals such as insurance agents. Typically, the more a client pays an insurance company, the bigger the commission the agent receives. Thus, an insurance agent often has a significant financial incentive to sell an elder an insurance product that may not be in the elder’s best interest. Insurance agents will often try to upsell clients and convince them to purchase insurance plans or policies they don’t necessarily need. For...
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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...
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Life insurance companies routinely deny claims due to non-payment of premiums. While some of these denials are valid, many of them are not. Everyone knows that policyholders have a duty to pay premiums on time to avoid policy lapse, but what is not clear to many policyowners is what rules life insurance companies need to follow when it comes to payment of premiums. State laws differ in terms of what duties insurance companies have, which, in return, affect how a case involving a denied life insurance claim due to non-payment of premiums is handled. California life insurance law, in particular, stands out. In this blog post our life insurance attorneys will explain what duties California...
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Having the right life insurance is pivotal in planning for the future of you and your loved ones. Life insurance can help you fulfill promises you’ve made your family when you are gone. Don’t leave the future of you and your loved ones to chance. Cromwell & Ney can help you find the right California life insurance coverage for you, and help ensure that your policy continually meets your needs. Life Changes. So Should Your Policy For each of our neighbors in California, the right life insurance will be unique and dependent on personal and financial needs. As your life changes, your life insurance coverage may need to change in order to adapt to your current needs. Some life...
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Do you have an ability to connect with people and a desire to help those in your community? If so, you’re in the right place – especially if you live on the west coast. These qualities are highly sought after by companies looking to appoint new insurance agents in California. To become an insurance agent in California – or anywhere – you’ll of course need an insurance license. But you’ll need something else that’s just as important: tenacity and discipline. If you have those qualities, the actual work might not be as much of a challenge as you anticipate. “Take it from me,” says Brianna Rowe, a trainer and growth strategist who started her 15-year sales career with Aflac...
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Life insurance benefits are not subject to probate in California or any other state. When a person dies, the court process makes sure the deceased's valid debts are paid and any remaining assets are distributed under the supervision of the court. Not all assets of the deceased are probate assets. Life insurance benefits, for example, generally pass outside the scope of it because they have a named beneficiary. However, under some circumstances, they can be subject to probate. Naming an Individual or Trust as the Beneficiary When a life insurance policy has a named beneficiary and that beneficiary survives the insured, the named beneficiary receives the proceeds directly without the need for...
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