Lawyers behind a class action lawsuit filed in United States District Court, Southern District of Florida, in March of this year, have asked the court for relief from the cost of insurance (COI) increases imposed by Transamerica, according to a report in the Daily Business Review, a south Florida legal and financial publication.
According to Adam Moskowitz of Kozyak Tropin Throckmorton, the plaintiffs need “immediate relief” as they are being charged “exorbitant rates” with no other choice “but to surrender their policies.”
The original class action complaint was filed March 25th of this year and alleged that the increased COI charges were not “based on adverse changes in the “cost of providing coverage” as Transamerica represented in the notices sent to the policyholders. Rather, it is based on Transamerica’s desire to avoid its contractual obligation to meet the high interest crediting rates it promised under the policies.”
The motion for a preliminary injunction filed on May 4th asked the court to prohibit Transamerica “from continuing their new practice of drastically increasing the cost-of-insurance (“COI”) charges on certain specific and identifiable universal life insurance (“ULI”) policyholders.”
Joining the law firm of Kozak, Tropin & Throckmorton of Coral Gables are the law firms of Harke Clasby & Bushman of Miami Shores, Merlin Law Group of Tampa, and Searcy Denney Scarola Barnhart & Shipley PA of West Palm Beach, according to the publication.
For copies of the documents filed with the court, email [email protected]