I heard KSKJ is rescinding some policy’s
- Thread starter DonP
- Start date
- 19,617
Aloe Blac wrote a song about him.
- 19,617
To get back on topic, what KSKJ is doing is despicable.
And while others have done it too doesn't excuse them.
And the more I read maybe they aren't so legal in this?
If someone misrepresented something and it was later caught, it's one thing. And companies can do that.
If a person qualified under the underwriting in place at the time of application but the company later changed underwriting and are now going back and applying the changed underwriting, it's another thing.
That is not legal. I talked to someone yesterday that is of the opinion that is what they are doing.
If he's right it completely changes this issue.
And while others have done it too doesn't excuse them.
And the more I read maybe they aren't so legal in this?
If someone misrepresented something and it was later caught, it's one thing. And companies can do that.
If a person qualified under the underwriting in place at the time of application but the company later changed underwriting and are now going back and applying the changed underwriting, it's another thing.
That is not legal. I talked to someone yesterday that is of the opinion that is what they are doing.
If he's right it completely changes this issue.
Meanwhile, these folks are now without insurance. My first one has not received her premium refund check or reason for rescission. She's in total limbo. The other one I haven't been able to reach yet, but she'll be in the same situation. Sure, I can place them elsewhere, but it will be more expensive now. And fighting things out with KSKJ would take a lot longer than they'd ever be able to back pay, if they did get reinstated.
- 4,843
I'm pretty sure KSKJ consulted with their attorneys before making these moves.To do otherwise is simply bad mgmt.
Companies lose lawsuits every day for actions that they took after consulting their attorneys.
- 19,617
I guess we will find out?
- 25,836
Assuming agents were not writing a lot of young healthy people into an FE policy. Some of these people are going to be harder to place level or at all. Then what? And restarting the contestable period.
Did an agent solicit my elderly grandmother and talk her into cashing out her Whole Life policy? Did the agent ask all the questions? Did they misinterpret a question? Did the agent rewrite/ churn prior clients? Does the agent or agency have a track record of marketing to and preying on the poor and vulnerable? Will E&O defend the agents even if the suits are frivolous?
Could the company be looking for a way to hang this on a group of agents or an agency?
If it is just a few cases probably not going to be a big deal. If a lot, it could be a real mess.
Did an agent solicit my elderly grandmother and talk her into cashing out her Whole Life policy? Did the agent ask all the questions? Did they misinterpret a question? Did the agent rewrite/ churn prior clients? Does the agent or agency have a track record of marketing to and preying on the poor and vulnerable? Will E&O defend the agents even if the suits are frivolous?
Could the company be looking for a way to hang this on a group of agents or an agency?
If it is just a few cases probably not going to be a big deal. If a lot, it could be a real mess.
- 25,836
A lot of underwriting tightening and product changes are because of a few agents.
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