Wis. Northwestern Mutual Agrees to Settle Lawsuit up to $92 Million
Northwestern Mutual Life Insurance Co. has agreed to settle a class action lawsuit for up to $92 million.
The lawsuit accused Northwestern Mutual of failing to pay dividends on certain term life policies and using improper sales and marketing practices.
The lawsuit was filed four years ago by a customer in California who said the insurer’s sales materials misled him about whether dividends would be paid on term life and disability insurance.
Northwestern Mutual denies the lawsuit’s allegations. Company spokeswoman Jean Towell says they decided to settle to avoid “the uncertainty and expense of litigation.”
The proposed settlement covers about 1.3 million current and 1.6 million former policy owners who purchased term life or disability coverage since 1981.
- Apollo’s Rowan Blasts Regulators for Handling of Walter Insurers
- California’s El Niño Emergency Begins Now as Beaches Erode
- State Farm Says It’s Adding 3,000 More Jobs in Claims Next Year
- Hurricane Watch Posted on Hawaii’s Big Island as Nolo Approaches
- The Great Hemp Reset: How the Federal Ban on Intoxicating Hemp Products Will Reshape Risk and Coverage
- Torrential Rain Brings Deadly Floods Back to East Coast of Spain
- Are We Training Claims Adjusters or Claims Processors?
- The Nation’s Insurance Laboratory: What Liability Trends in California Mean for the Rest of the Country