GM Retirees File Suit Against MetLife Over Life Insurance Cuts
Posted on Thursday, June 23rd, 2011 at 2:59 pm
A group of General Motors retirees in Michigan has filed a lawsuit against MetLife after their life insurance coverage was cut.
According to Wayne County Circuit Court documents, 45 former employees of General Motors claim their life insurance coverage was reduced to $10,000 despite assurances that their higher guaranteed amounts would remain in effect for the rest of their lives. The salaried retirees, who are seeking class action status, want the full value of their policies reinstated, plus damages. The lawsuit accuses MetLife of breach of contract, fraud, unfair trade practices, and unjust enrichment.
The plaintiffs claim they received letters from MetLife on the day they retired stating how much coverage they would receive. The former employees paid into MetLife for more than a decade and contend that their estate and retirement planning decisions were made based on the information provided to them by the insurance giant.
“MetLife sits to have a huge windfall here,” said Andrew Rogers, attorney for the retirees. “When these reductions come 20 years later, when people are in their later years of life, they’re no longer insurable.”
MetLife issued a statement saying the company was not aware of the lawsuit and could not comment on it.
If you need assistance with a similar lawsuit, please contact the Dallas life insurance litigation attorneys of Smith Kendall, PLLC, by calling 214-361-6124.