FINRA Gives Individual $1 Million for 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. At Evans Law Firm, we represent those in California who have been sold an unsuitable annuity or are victims of other annuity fraud at the hands of insurance companies, brokers, and agents. Call Evans Law Firm at 415-441-8669 if you or someone you know is a victim of annuity fraud in California, and we can help.
The $1 Million Case
Recently, a Financial Industry Regulatory Authority (FINRA) arbitration panel awarded a woman $1 million for the annuity fraud she experienced. The victim purchased a variable annuity through an insurance company and agent whom she trusted. However, after owning the policy for a bit, she realized that it did not live up to what was promised – including the guaranteed 7% return promised by the insurance agent. She sued alleging various counts of common law fraud and statutory violations. The case went to FINRA arbitration. The panel awarded her $1 million.
The Bottom Line
Annuities, including variable annuities, are highly complicated and complex. And while they are often sold as investments, they are truly insurance policies masked as investments to look more appealing to the potential purchaser. Before putting your money into an annuity, we suggest that you ask a for a third-party opinion from someone who has no interest in whether or not you purchase the annuity.
Some of the major annuity and life insurance providers in California are:
- Aviva/Athene/Accordia Life Insurance Company
- Transamerica Life Insurance Company
- John Hancock Life Insurance Company
- Bankers Life Insurance and Casualty company
- Massachusetts Mutual Life Insurance Company
- Midland Life Insurance Company
- North American Company for Life and Health Insurance
- Pacific Life Insurance Company
- Prudential Life Insurance Company
- Genworth Life Insurance Company
- ING USA Annuity and Life Insurance Company
- Lincoln Benefit Life Company
- Metlife/Metropolitan Life Insurance Company
- Unum Life Insurance Company of America
- Voya/Reliastar Life Insurance Company
The Financial Industry Regulatory Authority (FINRA) is the largest independent regulator for all securities firms and markets in the United States, and aims to protect investors by making sure the United States securities industry operates fairly and honestly. FINRA operates the largest arbitration forum in the United States.
Evans Law Firm, Inc. handles annuity fraud and insurance fraud cases and FINRA arbitrations and lawsuits in Marin County, CA and in all other counties in California as well. If you have purchased an annuity policy, or are considering purchasing one, and would like to know whether it is a suitable investment for you, or if you are headed to a FINRA arbitration, contact Evans Law Firm, Inc. at 415-441-8669 or via email at firstname.lastname@example.org.