Foresters Possible Fraud

[TampaHound]

So along these same lines:

I have a possible client that is worried about tests coming up in July. Personally they sound routine to me but the fact that she's worried about them probably means something is going on that I'm not privy to.

She is diabetic (controlled, non-insulin) with HBP (common drugs). She's been on the same drugs for 15 years so she's good. The tests are stress test, etc. 63 yr old F. No heart disease in the family that I'm aware of.

I was thinking of either Settler's or LBL.

Now you got me concerned that something will show up.

 

[NSRH]

Im not saying I agree necessarily with Plan F. Only trying to explain it.

If the company can "prove" that someone had a disease while applying for insurance (even if unknown to them), they will rescind the policy.

If a "reasonable" person would have went to a dr to get something checked out, and the client didnt, they are going to rescind the policy most likely.

A lot of carriers, from my experience, subscribe to this, but I haven't run across it that much. It appears some carriers are more investigative than others.

 

[Newby]

I had TransAmerica do one last year off of a currently insured called in to them. He had a policy on the books for a year. Came to me and wanted more. We applied and he was approved. But then his draft never cleared so the 2nd policy never went into force.
A few months later he has a stroke. So he decides he wants the 2nd one now. He calls them directly to see if he can just start paying on it. He gets them confused on his stroke (his other stroke had been 15-years earlier. So they recind his 1st policy.
I called them up and walked them through the timing of everything. They agree that it was their mistake. They will put it all back in place. But by now he owes three payments.

And you know how that one ended.

 

[rousemark]

So along these same lines:

I have a possible client that is worried about tests coming up in July. Personally they sound routine to me but the fact that she's worried about them probably means something is going on that I'm not privy to.

She is diabetic (controlled, non-insulin) with HBP (common drugs). She's been on the same drugs for 15 years so she's good. The tests are stress test, etc. 63 yr old F. No heart disease in the family that I'm aware of.

I was thinking of either Settler's or LBL.

Now you got me concerned that something will show up.

A stress test would not be ordered if there were not some heart concerns.

 

[dabulls]

Im not saying I agree necessarily with Plan F. Only trying to explain it.

If the company can "prove" that someone had a disease while applying for insurance (even if unknown to them), they will rescind the policy.

If a "reasonable" person would have went to a dr to get something checked out, and the client didnt, they are going to rescind the policy most likely.

A lot of carriers, from my experience, subscribe to this, but I haven't run across it that much. It appears some carriers are more investigative than others.

This is a joke and I would hope these carriers get taken to court if something like this happens...

 

[BibH]

Thats Bs Nsrh. The company would have to have documentation that the insured had a problem before the policy was taken out not just "he should have known".

 

[NSRH]

Thats Bs Nsrh. The company would have to have documentation that the insured had a problem before the policy was taken out not just "he should have known".

The burden of documentation falls on the insured, not on the carrier. Others have already shared real life experiences of this happening. Plan F might be BS, but what I'm telling you is not.

 

[jdeasy]

Thats Bs Nsrh. The company would have to have documentation that the insured had a problem before the policy was taken out not just "he should have known".

Companies count on people not fighting them in court. And they are winning that bet.

Not just when they plan F. Also when they don't pay a contestable claim. I've never known of a family fighting the company in court over a $10-15K policy.

I'm sure it's probably happened? But I've not heard of one. I would like to know of one and the outcome.

I know of one on a $15K claim that I'm 100% convinced they could win if they fought it. That family has never lifted a finger to fight it. Of course there might be something that I don't know about that keeps them from fighting it.

 

[jboussea]

Your NMO should have known about this. It's called "Plan F". It's a subscription service from MIB where they will monitor the applicants for 24 months and report any irregularities to the company. Forethought was the first I knew of doing it. They got so much blowback from agents that they stopped. The it was 1 star. Same thing, they got so much blowback from agents they stopped. Americo is notorious for using it and they don't care if agents don't like it.

This is the first I've heard of it from Foresters. But it's certainly not illegal and you would be wasting your time to talk to the DOI about it.

why woould the MIB be clear on the 1st check and not clear 2 years later?

Don't the meds only appear if the client applies for Life insurance again> why would they apply for Life insurance.

 

[jdeasy]

why woould the MIB be clear on the 1st check and not clear 2 years later?

Don't the meds only appear if the client applies for Life insurance again> why would they apply for Life insurance.

I don't know the answer to that. Sometimes it takes a while for things to get reported. Or so I'm told.

I believe it to be a scam. Why else would they hide it from the agent. Why do they do it in secrecy?