Cohen & Malad, LLP, has filed a class action lawsuit on behalf of Illinois and Indiana insureds against Accordia Life and Annuity Company and others alleging the companies illegally canceled and converted policies. The lawsuit, filed in federal court in the Central District of Illinois, alleges that after Accordia took over life insurance policies from a prior insurer, it stopped collecting automatic premium payments so that insureds’ policies would lapse or lose value.
“People bought these policies with the promise that after a certain number of payments they’d have paid up life insurance for the rest of their lives,” explained Cohen & Malad partner, Vess Miller, about the policies dubbed “universal life insurance.”
Richard Shevitz, the firm’s class action practice chair explained that “unfortunately, through no fault on the insureds’ part, Accordia unilaterally stopped making automatic withdrawals of premiums, and now the policy projections are showing that many insureds will be left without life insurance, many at a point late in life when they will be unable to obtain any affordable replacement life insurance.”
People who have purchased life insurance policies through Accordia and have had their policies converted without their consent can contact us for additional information or if they have questions about this lawsuit.