Suit alleges insurance company policy scheme
OXFORD, Miss. (AP) — Nine north Mississippi residents have alleged in a lawsuit that an Illinois-based insurance company coerced them into turning old policies into new ones, which resulted in lowering their policies’ death benefits and cash value.
The Northeast Mississippi Daily Journal reports (http://bit.ly/WhXlkh ) that the lawsuit was filed this past week in federal court in Oxford against Modern Woodmen of America. The company has not yet responded to the lawsuit.
The lawsuit alleges the insurance company conspired to improve profits by hurting them and continues to train its agents to trick existing policyholders without an assigned agent.
The lawsuit seeks unspecified damages.
In the 46-page complaint, the plaintiffs also allege they did not discover their “injury” until 2012, although they say the alleged illegal activity started at least in 2005.
Information from: Northeast Mississippi Daily Journal, http://djournal.com