Any update on the Bankers Life Rehab?

[rats0001]

b+ rated, not buying for a million years

 

[Allen Trent]

And yet ANOTHER annuity company is born: "Pillar Life." Look who started it and where they used to work. It never ends...
https://www.thinkadvisor.com/2022/09/14/pillar-life-aims-to-sell-annuities-directly-to-consumers/

the most notable item on that announcement you linked:

"CEO Wilfred Romero previously was the head of risk and strategy at Global Bankers."

Lol, if he was head of Risk & Strategy, appears he may have missed a major risk of the GBL CEO using the carriers money as a piggy bank & the risk that their own internal Accountants & regulators didnt notice the money being gone/misused.

But, eventually, the regulators will have no problem asking the good existing carriers to fund the Guaranty Association payments & at the same time approving entities run by these former executives of GBL. king of a back handed slap at the stable existing carriers

 

[Newby]

Canvas already does this and has better ratings.

No reason to go with either though, IMO. There are many more higher rated, longer established carriers with slightly lower rates.

The radio entertainer Financial Advisors who position commissions as “evil” will help sell those products even if they are the worst in class.

 

[rats0001]

Eventually, like 10 years later; probably with no interest since the date they went into rehabilitation, and then withdrawals over an extended period.

Mr. Romero seems to be doing just fine, I'm sure this POS B+ company will probably also go bk, fleecing unsuspecting policyholders, who this time deserve it.

Not sure what state this is licensed in, but I'm sure they will get any affiliated investment limits waived too.

 

[Allen Trent]

fleecing unsuspecting policyholders

I know it likely doesn't feel like it, but the majority of consumers will be made whole in the end. The real fleecing will be of the upstanding carriers that didn't mis manage a company who will be eventually sent an assessment to compensate CBL customers for the mis deeds of the leadership at CBL. Ironically, lawyers likely handling CBL legal proceedings will get paid a ton & eventually make the amount that the upstanding carriers get assessed for as the CBL assets will be even smaller after lawyers get paid

 

[rats0001]

You can see in the quarterly rehabilitation reports, now not filed timely like they used to be, how much the lawyers and consultants are taking each quarter. I agree this will be a huge amount since this will go on for another 7 years at least.

 

[David Nyman]

Hi all, does anybody know the status of the court ordered liquidation of Bankers Life? Is this in the hands of the SGA or is Lindburg fighting this?

 

[Allen Trent]

Hi all, does anybody know the status of the court ordered liquidation of Bankers Life? Is this in the hands of the SGA or is Lindburg fighting this?

Last I saw there was an appeal starting I'm North Carolina courts.

But also saw this past week that Lindberg has a new nearly $1B lawsuit filed against him. [EXTERNAL LINK] - PB Life and Annuity Co. Ltd. et al v. Greg Lindberg et al: Complaint ($735M)

 

[rats0001]

Very bad news.
Just read an article by Lauren Ohnesorge in the Triangle Business Journal, that said Lindberg is appealing the liquidation order, and the author thinks it will eventually wind up in the North Carolina Supreme Court.
This sounds to me like a multi year process, the way courts work.
I hope my heirs enjoy this money, I'll never make it.

 

[David Nyman]

I have about 300K in a 5 year annuity. I figure losing about $20,000 a year to inflation plus another 3% in lost income if I had been able to reinvest this money in a safe investment like CDs. At this rate the money I get back will only be worth 1/2 of what was invested.. Everybody looses but the lawyers.