Annuity and Universal Life Scheme Attorneys
Annuities and universal life insurance policies have been around for decades but have become more popular in recent years. Investment brokers across the country sell more than $100 billion in annuities every year. Many brokers use unscrupulous selling methods to push these popular investments on entire classes of unsuspecting investors who might not realize the high fees associated with these products.
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What is Annuity Fraud?
An annuity is an agreement between you and an insurance company or financial institution. The company will assume the responsibility of growing your money and, upon a specific period of time, will pay to you —the investor — a series of annual payments. However, many brokers fail to mention several important facts about annuities, particularly variable annuities. They neglect to tell buyers of high annual fees and charges that could essentially wipe out one’s entire savings.
High-pressure sales and marketing tactics are commonly used by brokers in order to get you to buy an annuity. For instance, one popular tactic is a large, upfront cash bonus for anyone who buys a policy. These tactics are usually used against older adults who may not fully understand the complexity of annuities.
What To Do If You Are the Victim of Annuity Fraud
In the past few years, a number of class actions filed against those who perpetrate annuity fraud have settled for millions of dollars. In addition, a number of state attorneys general and insurance commissioners have cracked down on these sales tactics and filed several complaints against companies that use high-pressure sales methods.
If you feel you have been a victim of annuity fraud, contact our annuity fraud lawyers at Sanford Heisler Sharp for an evaluation of your claims.