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Aetna Life to pay $500,000 to settle consumer case
Question of the Day
ALBANY, N.Y. (AP) - New York financial regulators report an agreement with Aetna Life Insurance Co. to pay $500,000 for using group life insurance policy forms that didn’t include required information notifying policyholders of certain rights and benefits.
According to the Department of Financial Services, its investigation found Aetna used policy forms between 2002 and 2011 for six group life insurance policies that didn’t comply with state consumer protection law.
One undisclosed benefit is the right for a longer period than was disclosed for someone to continue their coverage under an individual policy if the group policy is canceled.
Under the agreement announced Wednesday, the company says it will take steps to prevent recurrences.
Aetna says it has added the technical language forms and has no evidence anyone was harmed by the delay.
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