Migliaccio & Rathod LLP is investigating whether life insurance companies have improperly terminated or threatened to terminate universal life insurance policies despite policyholders satisfying the requirements of their no-lapse guarantees, including policies issued in Missouri, Iowa, and Nebraska.
Some universal life insurance policies include no-lapse guarantees that promise to keep coverage active for a specified period if the policyholder satisfies certain premium-payment or account-value requirements. These guarantees may rely on calculations separate from the policy’s ordinary cash value, meaning a policy can potentially remain protected even when its displayed account value is low.
Migliaccio & Rathod is investigating whether insurers incorrectly administered these guarantees, causing policyholders who satisfied their contractual obligations to receive lapse notices, face unexpected premium demands, or lose life insurance coverage.
Policyholders May Have Experienced:
- Receiving a lapse notice despite making the required premium payments;
- Being told additional premiums were necessary to maintain guaranteed coverage;
- Having a policy terminated despite satisfying the no-lapse guarantee conditions;
- Receiving conflicting explanations about how the guarantee was calculated;
- Paying unexpected catch-up premiums to prevent a lapse; or
- Losing coverage because of potentially incorrect premium or account calculations.
Potential Claims May Include:
- Failure to honor contractual no-lapse guarantees;
- Incorrect calculation of premium-payment or guarantee requirements;
- Breach of insurance contract;
- Improper termination or threatened termination of life insurance coverage; or
- Violations of applicable insurance laws.
Signs You May Be Affected:
- You own or previously owned a universal life insurance policy;
- Your policy includes a no-lapse guarantee or similar rider;
- Your policy was issued or maintained in Missouri, Iowa, or Nebraska;
- You made the payments required to maintain the guarantee;
- Your insurer nevertheless issued a lapse notice, demanded additional premiums, or terminated coverage; or
- You have the policy, premium-payment history, and lapse correspondence.
If you believe you experienced this issue, we would like to hear from you. Please complete the contact form on this page, send us an email at [email protected], or give us a call.