Class Action Lawsuit: contends Midland targets deferred annuity sales to seniors
January 31, 2005
A class action lawsuit was filed on behalf of senior citizens against Midland National Life Insurance Co., alleging violations of elder abuse laws, consumer laws and breach of the duty of good faith and fair dealing. According to papers filed in L.A. Superior Court, the lawsuit seeks to prohibit the distribution of such policies to seniors and refund premiums to those who have already purchased them.
The plaintiff, the estate of John Migliaccio, says that Midland sold a deferred annuity policy to Migliaccio in January 2003, when he was 73 years old. Paying about $43,000 in premiums, based on the company's payment schedule, Migliaccio was not due to receive payouts until he turned 115 years old.
The suit alleges Midland is selling the elderly insurance annuities that are unsuitable because annuity payments are not made until after their life expectancy. Migliaccio died 17 months after buying the policy.
For more information on the class action lawsuit filed on behalf of senior citizens against Midland National Life Insurance Co., please contact us.
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