by wab930 » Sat Jun 18, 2011 01:24 am
I just discovered that my ex-husband has purchased a sizeable life insurance policy in my name where he is the beneficiary. The policy is now active without my approval or signature and he refuses to cancel the policy. I receive monthly payments from him and owe him no debts. I wrote directly to the insurance company a week ago, explaining the situation. They have not responded. Can I sue the insurance company to force termination of the policy?
Posted: Sat Jun 18, 2011 01:47 am Post Subject:
What state do you live in? In California, for example, it is unlawful for a person to obtain life insurance on their spouse without the knowledge and consent of the spouse. This does not give someone the right to sue an insurance company, but it would allow a person to get the state Dept of Insurance involved in enforcing the Insurance Code.
Your state's law may be somewhat different. But you are not the policyowner, so you have no power to force the insurance company to do anything it chooses not to do.
I wrote directly to the insurance company a week ago,
You should expect to hear from the insurance company in the next 7-10 days. Within one week is a bit too soon.
Posted: Sat Jun 18, 2011 03:27 am Post Subject:
Yes, I live in California. I did not approve or sign for this policy. Does that not mean anything? I am very nervous knowing he has this policy. Don't I have any legal recourse? Can I sue my ex-husband for pushing this forward without my approval and signature? Also, can you explain what happens when the state Department of Insurance becomes involved? What does enforcing the insurance code actually mean? How long could it take to get action and, most importantly, will his insurance policy on me stay in effect during the entire time? Can I force a temporary hold on the policy until this get sorted out? I am very nervous.
Sorry, I put this in the wrong forum.
Posted: Sat Jun 18, 2011 05:02 am Post Subject:
No, you cannot sue anybody for what has happened. You have no "cause of action", even though you are the insured on a policy that should not have been issued. Can I ask how you became aware that this policy is in existence?
Section 10110.3. of the California Insurance Code states:
(a) An insurer may not issue an individual life insurance policy to an applicant that insures the life of the applicant's spouse unless the applicant's spouse has signed the policy application or has otherwise been notified in advance of the issuance of the policy.
(b) This section shall apply to policies of individual life insurance with face amounts exceeding fifty thousand dollars ($50,000) that are issued on or after July 1, 2004.
When you state "a sizable life insurance policy", I assume it is for more than $50,000. If that is the case, then the contract "may not be issued". Normally, the word "may" is permissive, but here, in context, it would be interpreted to mean "shall not be issued", and the word "spouse" is understood to also include "ex-spouse". In other words, legally, the contract has to be voided, and all premiums paid refunded to whomever paid them (I assume your ex-husband).
Can I force a temporary hold on the policy until this get sorted out?
Again, the answer is NO. You are not the policyowner, so there is nothing you can do, except that which you already have . . . giving notice to the insurance company that you did not cooperate in the application for the policy. Now it's up to them to investigate the application, speak with the agent who submitted it, and terminate the policy if the facts are as you state.
I would strongly recommend that you add some fuel to the fire by filing a formal complaint with the Dept of Insurance as soon as possible. You can do that online here: http://www.insurance.ca.gov/contact-us/0200-file-complaint/index.cfm
The page gives some basic information about filing a complaint, and the link to the complaint form ("Request for Assistance") is at the bottom of the page -- you can use the "Internet" version (the second link). Be as specific as you can, and include the name of the agent if you know it. Without a policy number, their task will be a bit more difficult, but not impossible. The policy can be tracked against either your driver license number or Social Security Number (both needed to be on the application), so be sure to include those bits of information for the CDI.
You will receive written notice that your complaint is being acted on, and you may even be contacted by an investigator by telephone to obtain additional information.
The agent who cooperated in this application is also likely to be contacted by the Dept of Insurance to find out why he/she violated the Code, and could eventually find himself in some trouble with the Dept, which is as it should be.
There are signatures on the application that purport to be yours and those would have been forged, so there could be criminal action taken against both the agent and your ex-husband for forgery and/or insurance fraud. And if medical testing, such as blood and urine, was required by underwriting for the amount of insurance applied for, then an imposter was probably involved, which could escalate all of this to the level of criminal conspiracy, a felony.
I am very nervous.
I assume you are nervous thinking about your ex-husband plotting your early death? There's good news and bad news there. The good news is that he, like Scott Petersen found out several years ago, won't be able to collect the death benefit if he is found to have been involved criminally in your death (the police always look at the spouse/ex-spouse, and especially so when a life insurance policy was recently purchased). The bad news is you would still be dead.
It's possible that with this information about the policy you might be able to get a restraining order against him. For that, you should talk to your divorce attorney.
So file that complaint with the CDI right away!
Posted: Sat Jun 18, 2011 03:10 pm Post Subject:
Excellent advice! Thank you so much. If it's okay, I'd like to keep you in the loop on this untilnitnhas been resolved to my satisfaction. Please let me know how I can do so in private. Thanks again.
Posted: Thu Dec 05, 2013 08:12 pm Post Subject: home owners insurance
I have been in the process of getting a divorce for the last year. It was written in a documentation from both attorneys at separation that no changes to be policies could be made without the others consent. My ex-husband is living in the home we own. My diamond ring was on the home owners and when I moved out it surprising disappeared. During separation my ex changes insurance companies and took the ring off the policy w/o my consent. Can I sue him or the insurance company. Wouldn't I have had to sign those papers?
Posted: Thu Dec 05, 2013 08:33 pm Post Subject:
This is not an insurance matter and it doesn't belong in this thread. What you are asking about is something called "hypothecation" -- a fancy term lawyers use to refer to stealing in a divorce action. You need to ask your attorney about this.
You cannot sue the insurance company . . . what did they do wrong? Did you serve them with copies of any court orders about changes to policies? No? I didn't think so.
Add your comment