An Iowa insurance company is settling a lawsuit with the Minnesota attorney general and will offer refunds to as many as 2,400 senior citizens who purchased long-term annuities.
American Equity Life Holding Co. was accused of exploiting the elderly by selling them annuities they couldn’t access for several years without significant penalty.
Under the agreement, the company didn’t admit to any of Swanson’s allegations. But the company’s CEO says a settlement was a business decision that spares the company from spending more time and money on litigation.
Senior citizens who purchased an annuity after 2001 that didn’t suit their situation will be able to get their money back with interest and without surrender charges.
The case was part of a series of lawsuits filed by Attorney General Lori Swanson. A lawsuit against a fourth annuities company that has major operations in Kansas and Iowa has now been filed.
Was this article valuable?
Here are more articles you may enjoy.
Missed Warnings, Flawed Communication at Play in LaGuardia Crash 
California Jet Fuel Woes Deepen as Asia Flows Hit Decade Low 
AI Ruling Prompts Warnings From Lawyers: Your Chats Could Be Used Against You 
Legal Analysis: Insurer Subrogation Rights Under Scrutiny 
Want to stay up to date?
Get the latest insurance news
sent straight to your inbox.