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Priced Out of His Life Insurance Policy

The case: Did an insurance company mislead policyholders before raising premiums?

Robert Rakes purchased a long-term care insurance policy from Life Investors Insurance Company of America in 1994. Prior to the purchase, an agent met with him, assuring him that he could renew the policy regardless of age or health changes, as long as he paid his premium on time. For 10 years Rakes paid an annual premium of $1,006.20. But in 2004 the premium increased to $1,408.68. … Back to Article

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