Universal Life / Insurance Class Action $153,000,000 Class Action Settlement

Robert C. McBride, Individually and in a representative capacity on behalf of a class of all persons similarly situated v. Life Insurance Company of Virginia, d/b/a GE Life and Annuity Assurance Company, United States District Court, Middle District of Georgia, Columbus Division. Butler, Wooten & Fryhofer, LLP served as class counsel in a ground breaking settlement of a nationwide class action against GE Life Assurance and Annuity Company (formerly Life of Virginia) over its universal life insurance policies. The settlement, which was finally approved by Judge Duross Fitzpatrick on August 12, 2004, came nearly four years after the firm first filed suit for Robert and Barbara McBride. For further info please see blog. Mr. McBride's monthly premium increased dramatically after he had been paying on the policy for about 13 years.

The overarching issue was whether GE Life had the contractual right to administer its universal life policies so that additional or high premiums could be required to keep the policies in force. The settlement included three types of claims for premium relief: a level premium claim for policy holders who believed premiums would stay the same over time; a single premium claim for policyholders who believed that only one premium payment would ever be required; or a vanishing premium claim for policyholders who believed they had an obligation to pay premiums for only a limited amount of time, after which no more premiums would be required to keep the policy in force.The settlement made more than $153 million worth of relief available to the class members, who could receive nearly full economic damages through a streamlined claims process. Depending on their claim, class members could be entitled to a variety of relief including (a) the dollar-for-dollar return of higher or additional premiums required by GE Life to keep the policy in force; (b) premium reduction back to original levels for class members whose premiums have already increased; (c) the freezing of premiums for policyholders who have not yet experienced a premium increase; (d) a paid up policy for qualifying single premium claimants; (e) a reinstated policy; or (f) an accidental death benefit. Retired Federal Judge Sam Pointer analyzed the settlement and concluded that "All in all, the McBride settlement provides benefits to class members that are the equal of if not superior to those afforded under any other pretrial class settlement."The McBride settlement came after years of hard fought litigation. After the court denied GE Life's motions for summary judgment, plaintiffs' counsel forced GE Life to provide discovery of electronic user-created documents scattered throughout a fragmented and previously unsearchable computer system. Serious settlement negotiations began almost immediately after the parties agreed on a revolutionary framework for locating and producing the documents. This agreement materialized under pressure from then presiding Judge Wilbur D. Owens, Jr., who was considering a motion to compel filed by plaintiffs.On other discovery fronts, GE Life produced nearly 100 boxes of documents and millions of pages of electronic policyholder information. The electronic policyholder information proved to be crucial in negotiating and implementing the settlement. The parties crafted relief criteria to make sure that harmed class members received full economic damages. This innovative structure allowed the most significant relief to be delivered to the most seriously harmed class members. Plaintiffs' team of lawyers, along with experts in computer science, statistics, and insurance constantly evaluated the impact of these criteria during negotiations to make sure any settlement would be fair to the class.The electronic information allowed the parties to create a settlement claims process where no class member had to go through a cumbersome, expensive, company-controlled, and time-consuming ADR process to receive full relief. Instead, the class member simply needed to check a box next to a statement which reflected his understanding of his premium obligation when he purchased the policy. Comparing this simple form to the policyholder's payment history determined the appropriate relief.

Lance Wallach, comments:  Most people that buy life insurance do not expect the costs to go up.The insurance companies spell out the reasons in the policy but people do not read their policies. As an expert witness Lance Wallach's side has never lost a case. When an insurance company or agent lies to you and something bad happens you want to be made whole. Do not let an attorney learn on the job. Most class action lawsuits only benefit the attorney. The plaintiffs, YOU, get very little. You can opt out and fight on your own. We have been successful in simply writing a well-crafted letter, as opposed to a lawsuit. A lawsuits wastes lots of time for everyone. A letter can get quick results.

1 comment:

  1. 412i 419 sect 79 lawsuits audits www.lancewallach.com for help (plainview)


    © craigslist - Map data © OpenStreetMap
    (google map) (yahoo map)

    compensation: no pay
    Lance Wallach helps with 419 problems. 412i 419 abusive tax shelters IRS audits, lawsuits, Lance Wallach will help www.vebaplan.com
    419, 412i, IRS audits, Lance Wallach, Google him helps, The following had something to do with this.
    Dennis Cunning Steve Toth Randall Smith Paul Kaplan Herb Green Casey Hermansen
    Larry Bell Scott Ridge Judy Carsrud Jeffrey Glasberg Herb McDowel
    Greg Roper Joseph Donnelly
    Norm Bevan Michael Sonnenberg
    r Anthony Fakouri
    Steve Burgess
    Robin Weingast
    IRS audits 419 412i captive insurance and section 79 plans. Lance Wallach will help you.

    IRS audits section 79 419 412i plans. www.lancewallach.com for help
    Benistar, IRS raids, Niche, Robin Weingast, Lance Wallach helps, Sadi trust, grist Mill trust, nova 419 welfare benefit plan problems and how Lance Wallach helps.www.vebaplan.com for more help. Sea Nine VEBA, 419, 412i, IRS audits,Sea Nine VEBA, are all audited by the IRS and people in them probably need help.
    Sea Nine VEBA, 419,412i are all IRS audit targets. Lance Wallach can help, www.tazaudit419.com
    419, 412i, IRS audits, Lance Wallach, Google him helps, The following had something to do with this. Author to write about these problems.
    Dennis Cunning Steve Toth Randall Smith Paul Kaplan Herb Green Casey Hermansen
    Larry Bell Scott Ridge Judy Carsrud Jeffrey Glasberg Herb McDowel
    Greg Roper Joseph Donnelly
    Norm Bevan Michael Sonnenberg
    Anthony Fakouri
    Steve Burgess
    Robin Weingast
    " Lance Wallach will help fix the problems that people have that are or were in the plans.
    "Professional Benefits Trust" PBI

    "Sea Nine Veba"
    Bisys
    The "Beta Plan"
    The "Millennium Plan"

    Niche
    The "Ridge Plan"


    The "Compass Welfare Benefit Plan"
    "Section 79 Plans"
    "Captive Insurance"
    and other similar "412i retirement plans" and "419 welfare benefit plans

    Lance Wallach, www.taxaudit419.com will help you with these problems and more like section 79, captive insurance lawsuits and IRS audits. People in the section 79 plans 419 welfare benefit plans captive insurance and 412i pension plans are getting audited by the IRS and then they sue. Google Lance Wallach for help with this. If you need help Lance Wallach as an expert witness has never lost a case. You need help NOW.

    Customers of James Cunningham d/b/a Cunningham Financial or CFG Consulting LLC? We want to speak with you!
    IRS audits and lawsuits result from 419 412i captive insurance and section 79 plans. As an expert witness Lance Wallach has never lost a case.

    ReplyDelete