A class action lawsuit has been filed against Kansas City Life Insurance Company alleging that Kansas City Life systematically overcharged policy owners for the cost of insurance and expense charges draining the cash values from their permanent life insurance. The unauthorized charges are comprised of hidden expenses – or “loads” – buried within the contractual policy charges that ultimately drain the policy’s cash value. Simply put: Money that should go to the policy owner’s savings is going instead to the insurance company. According to the lawsuit, the policies may become unaffordable, leaving policy owners without life insurance when it is needed the most.
These policies can be referred to in several ways:
- Premium adjusted death benefit
- Variable universal
- Whole life
- Variable whole life
- Flexible premium
Improper overcharges and rate increases are a widespread problem in the life insurance industry, and they cost a typical policy owner significant money each month and year.
Stueve Siegel Hanson LLP and Miller Schirger, LLC, the law firms that filed the action, recently obtained a federal judgment against another life insurance company for more than $34 million, relating to similar policy overcharges. Collectively, the two firms have recovered more than $2 billion in cash relief and death benefits for life insurance policy owners nationwide. To learn more, visit www.lifeinsuranceproblems.com or call 888.816.2108.