Pennsylvania fines life insurance companies for partial benefits payments

Life Insurance Process

The state has been slapping insurers with penalties for failing to offer a full payout to beneficiaries. Pennsylvania has started implementing a crackdown on life insurance companies that have been discovered to be failing to pay out full benefits to the beneficiaries of policies soon after those policy owners have died. So far in 2015, the state has recovered $70.4 million for almost 4,300 beneficiaries in Pennsylvania. This is all a part of a broader effort by the Pennsylvania Department of Insurance, which involves a number of other states, as…

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Prudential Insurance reaches settlement with Insurance Departments in seven states

Seven states have announced that they have reached a settlement with Prudential Insurance Company of America as well as a number of its affiliate companies. According to Michael Consedine, the insurance commissioner from Pennsylvania, there were concerns raised over the practices at Prudential over the death benefit payments for beneficiaries of life insurance policies following an exam performed by several states. However, he went on to say that they appreciate the willingness of Prudential to “to reach a settlement that includes changing its business practices to better locate beneficiaries. This…

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