Category: Annuities Fraud

ATTORNEY NEWSLETTER Beware Annuity Sales Hype Always Think About Taxes Incomplete information is worse than none at all, particularly when it comes to annuities and taxes. The attached article is an example of incomplete sales talk; the salesman leaves out the most important component of sound retirement planning: tax deferral. […]

ATTORNEY NEWSLETTER FINRA Gives Individual $1 Million for Annuity Fraud Annuity Fraud Annuity fraud, especially targeting seniors, is a growing problem. Complex annuities are often sold to individuals as retirement investments when they are, in fact, an insurance product often wholly unsuitable to a client’s portfolio or future financial needs. […]

ATTORNEY NEWSLETTER The Insatiable Appetite for Commissions Broker Stops At Nothing For Commission Dollars Sales commissions in the life insurance/annuity business are big. Typically, annuity commissions hover at 10% and whole life commissions much higher, at least in the first year of premium payments. In a recent case, a broker […]

ATTORNEY NEWSLETTER Annuity Sales Commissions: A Closer Look Broker Dealers Cracking Down Annuity sales generate large commissions, often around 10% or more of premium. And the size of the commission is only part of the story. The well-kept secret (among salespeople) is that the longer the surrender charge period (i.e., […]

ATTORNEY NEWSLETTER The Terrible Truth of Annuities Annuities A lot of people are talked into annuities as a way to save for retirement. Please think twice (or three times) before you are sold an annuity. As more and more people, seniors particularly, end up with annuities, it becomes clear that […]

ATTORNEY NEWSLETTER Annuity Fraud: A Widespread Problem Beware of Annuity Fraud Scams Annuity agents target seniors. It’s a simple fact. Another simple fact: many annuity agents cannot be trusted. A recent case provides a clear example. There, over years of operation, two fraudulent agents bilked seniors out of $11 million […]

ATTORNEY NEWSLETTER Universal Life Insurance Premiums Increase Dramatically Universal Life Insurance (IUL) Universal life insurance premiums are on the dramatic rise, and it forces individuals to decide whether to keep the insurance in effect. If you have had a recent premium increase on a universal life insurance policy and want […]

ATTORNEY NEWSLETTER And The Numbers Are In… Annuities Annuities, in our opinion, are outdated and unsound investments. According to a recent article, it is possible that investors agree with our reasoning as well, as annuity sales in the fourth quarter have dropped 17% as compared to the year before. This […]

California Law Prohibits Cross-Selling of Reverse Mortgages and Annuities Beware of Pressure Tactics Seniors in Alameda and Marin County and throughout the State of California are often approached to take out reverse mortgages on their homes. Often, these individuals have substantial equity and significant appreciation in home value but reduced […]

Surrender Charges: The Unlikely and Often Unnoticed Aspect of Annuities Annuities Annuities are being sold in unbelievable numbers these days, as insurance companies and agents convince individuals it makes sense to put their money in some sort of insurance “investment.” Yet, annuities contain many severe disadvantages to the consumer, such […]