Quote:
Originally Posted by retiredguy123
It's not legal if the broker is concealing the health status of the clients from the insurance company. He is supposed to represent the company. Insurance companies aren't stupid. They require the health status to be revealed, a medical examine, or a waiting period before accepting the policy. It sounds like the broker may be defrauding his own company.
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I assume the insurance companies know the health of the individual, since as he said he doesn't even know these people. He showed me one where he is paying less than 3 thousand in premiums a year for a 100K policy. The insured wife is supposed to get 1/3 of the benefits and it's already written into the policy, so the insurance company handles the distribution. Even with just 2/3 he's still good for 66K. Now that I think about it, I've been seeing advertisements on TV about selling your policies.