1994 0528 and 0929 – GOV (House) – Deceptive Practices in the Sale of Life Insurance – Cardiss Collins (D-IL)

1994 0528 and 0929 – GOV (House) – Deceptive Practices in the Sale of Life Insurance, Cardiss Collins (D-IL)

• 1994 0528 and 0929 – GOV (House) – Deceptive Practices in the Sale of Life Insurance, Cardiss Collins (D-IL)  —  [BonkNote]
  • [PDF-69p-GooglePlay, VIDEO-?] –>Not on govinfo.gov 
  • J. Robert Hunter as Texas Insurance Commissioner – Written Statement – 9p
  • Thomas Tew, Lawyer – a Joint-agency investigation into certain sales practices of Metropolitan Life Insurance Company
  • House – Committee on Energy and Commerce – Subcommittee on Commerce, Consumer Protection, and Competitiveness

• (p1) – In 1990, the Tampa office of MetLife began a nationwide mailing campaign that promoted whole life insurance policies as “retirement savings plans.”
  • The Tampa letters failed to identify the product being sold as an insurance policy and the sales persons sending the letters did not identify themselves as insurance agents or insurance representatives.
  • It is estimated that during the period 1990 through 1993 MetLife agents knowingly misled over 60,000 consumers, many of them nurses, into buying insurance policies disguised as retirement plans. 
•  (p9) – Thomas Tew, Lawyer – a Joint-agency investigation into certain sales practices of Metropolitan Life Insurance Company.
  • In closing, Madam Chairwoman, I hope that the future and the legacy of the Met will be that two concepts come into the world of insurance compliance, the concept of suitability and the concept of disclosure.
    • It is shocking in the 1990’s that a person who hands a mutual fund salesman a $100 bill gets a complete disclosure of the sales charge, the commission, who the players are, what the investment objective of that fund is…
    • …and yet that same person giving $100 to an insurance agent to buy an annuity product or a whole life product learns absolutely nothing about the internal workings of that product.