Life Insurance Company Must Face Class Claims Over Deduction Rate Increase

Mealey's (November 17, 2016, 10:12 AM EST) -- LOS ANGELES — A life insurance company’s motion to dismiss a consolidated class complaint filed by its policy holders after it increased its monthly deduction rate (MDR) failed except as to a small portion of the plaintiffs’ breach of contract claims, a California federal judge ruled Nov. 8, finding that an earlier settlement between the company and its policy holders did not bar the present suit (Gordon Feller, et al. v. Transamerica Life Insurance Company, No. 16-1378, C.D. Calif.; 2016 U.S. Dist. LEXIS 155759)....