In a STOLI-like case an application on the life of Diana Spira, an 83-year- old woman, for $5,000,000 was made to General American on November 5, 2005. On the application, statements were made regarding the insured’s net worth and income. American General issued the policy on December 15, 2005. Mrs. Spira died on June 7,…
This is a case alleging STOLI (Stranger Originated Life Insurance) in which American National Insurance Company (“ANICO”) appealed a trial court’s order granting a request by The Conestoga Settlement Trust (“Conestoga”) to apply New York law to issues relating to the validity of a policy in the underlying suit rather than New Jersey law.
The Office of the Special Inspector General for the Troubled Asset Relief Program (SIGTARP) has announced the indictment of two men for a scheme to defraud insurance companies, including Lincoln National, into issuing stranger-originated life insurance (STOLI) policies.
Ohio National brought suit alleging that Douglas Davis, Paul Morady, and Mavash Morady conspired to procure life insurance policies from them for people in whose lives Davis and the Moradys did not have an insurable interest. Steven Egbert, who purchased one of the five policies at issue, was also named as a defendant.