Delaware insurance commissioner: We’re on the watch for sketchy annuity deals
July 26, 2019 by Trinidad Navarro
Trinidad Navarro is Delaware’s insurance commissioner.
In late 2018, the Delaware Department of Insurance initiated and completed examinations of 15 insurance companies that resulted in penalties totaling $948,000.
These exams began after the Department received complaints from consumers who believed they received bad advice concerning annuities.
Annuities, typically purchased for future retirement income, are contracts in which an insurance company makes a series of income payments at regular intervals in return for a premium or premiums you have paid and can be guaranteed to last as long as you live.
Several Delawareans reported that insurance agents were approaching elderly consumers with recommendations that they surrender existing annuity products and use the money from the surrendered policies to purchase new annuities.