“A shady insurance scheme that started in Florida and Arizona, states chock full of vulnerable and often wealthy seniors, is starting to pop up here, Ohio Department of Insurance Director Mary Jo Hudson said.
Older people are being solicited to sign up for life-insurance policies with third parties as beneficiaries in exchange for a cash payment.
‘The deals are 100 percent targeted toward individuals 65 and older, the most vulnerable population for complex life-insurance transactions,’ she said of the deals, known as stranger-oriented life-insurance policies.
Such policies always have been illegal, but amendments to the state’s Viatical Settlement Act that take effect Sept. 11 better define what constitutes such a policy, also called a STOLI, and should make it more difficult for investors to turn a profit…” Read More Here.
Filed under: Insurance Scam Watch |