A new six month investigation conducted by Bloomberg Markets Magazine is shedding light on the mishandling of death benefit funds belonging to families of fallen U.S. soldiers. The investigation, led by senior writer David Evans, discovered that insurance companies are profiting off the death benefits of American soldiers killed in combat.
Speaking Sunday to Fox News, Evans explained the deceptive practices. Following a soldier’s death, family members were provided with policy documents from insurance giants including Prudential Financial that led them to believe death benefit funds were being held in a secure, FDIC protected account. But in reality, the funds were not FDIC protected and not being held in a bank.
To make matters worse, the investigation uncovered similar practices being carried out by MetLife for four million non-military federal employees, including government employees and workers at the FDIC.
The investigation, which is profiled in Sunday’s Washington Post Business section, uncovered that death benefit funds were being held in general accounts, making them subject to the claims of insurance company creditors. Evans said insurance companies have been “earning 4 to 5 percent interest in cases involving soldier death benefits and federal employees” while policy holders remain unaware “that the money is not in a bank.”
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In my view this is a very cheap trick and so I will continue to follow it. More to the point, what is happening in Canada with our soldiers?
Are they cannon fodder also?
I don’t know but the media should be starting to ask questions.