Conseco Accused Of Illegal Rate Hikes

LOS ANGELES (CN) - Conseco Life Insurance is accused in a class action of illegally imposing "staggering" rate hikes on policyholders that "are so huge and so sudden that they cannot possibly be based on expectations as to future mortality."

The complaint states that this court ruled against the defendant in a previous national class action, Rosenbaum et al. v. Philadelphia Life Insurance Co., (Conseco's predecessor). After that ruling, "Defendant Conseco Life was forced to return all the unlawful cost of insurance charges, plus interest, to its policyholders. The policies at issue in this action have the exact same cost of insurance provisions as the policies adjudicated by this Court in the Rosenbaum Action," the complaint states.

Plaintiffs are represented by lead counsel Timothy Dillon of Laguna Beach.

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