Death Benefit Controversies
In October 2012, Nationwide paid $7.2 Million to resolve a prove of its payouts for death benefits in a probe lead by a multistate task force headed by Florida Insurance Commissioner Kevin McCarty. The task force stated that over $1 billion of death benefits was not paid to consumers by multiple companies, including Nationwide, MetLife, Prudential Financial Inc., and Manulife Financial Corp, because of customers failure to file a claims report. The pact reached with the task force will commit Nationwide and other insurers to compare its records against the Social Security Death Index and conduct a search for beneficiaries. The language in life insurance policies make it clear that it is up to the beneficiaries to notify the insurer, however few companies have fallen back on this argument due to public relations fallout.
Read more about this topic: Nationwide Mutual Insurance Company
Famous quotes containing the words death and/or benefit:
“Tear out the close vermiculate crease
Where death crawled angrily at bay.”
—Allen Tate (1899–1979)
“Your children get a lot of good stuff out of your work...They benefit from the tales you tell over dinner. They learn from the things you explain to them about what you do. They brag about you at school. They learn that work is interesting, that it has dignity, that it is necessary and pleasing, and that it is a perfectly natural thing for both mothers and fathers to do...Your work enriches your children more than it deprives them.”
—Louise Lague (20th century)