Fidelity & Guaranty Life: A Trail of Class Action Lawsuits Raises Concerns About Business Practices
Fidelity & Guaranty Life (F&G) has faced numerous class action lawsuits throughout its history, raising concerns about potential deceptive marketing, data breaches, financial fraud, and unfair credit reporting practices. From allegedly pushing misleading “investment” life insurance policies to engaging in a multi-million dollar rebate scheme, the company’s track record paints a picture of recurring legal challenges. While several lawsuits have been settled, some remain ongoing, highlighting the need for consumer vigilance and possible legal recourse.
| Complete Date | Case | Citation | Court | Short Summary |
|---|---|---|---|---|
| 2014 | Deceptive Sales Practices (Indexed Universal Life Insurance) | N/A | California Superior Court | F&G settled for $22.5 million after accusations of misleading customers about life insurance policies as “investments”. |
| 2014 | Mortgage Fraud Scheme | N/A | U.S. District Court | F&G settled for $2.4 million following allegations of participating in a mortgage fraud scheme with a broker. |
| 2020 | Unfair Credit Reporting Practices | N/A | U.S. District Court | Lawsuit ongoing, accusing F&G of inaccurate credit reporting that harmed consumers’ credit scores. |
| 2023 | MOVEit Data Breach | N/A | U.S. District Court | Lawsuit pending, alleging F&G failed to protect data of over 873,000 individuals in a cyberattack. |
| 2023 | Life Insurance Rebate Scheme | N/A | U.S. Bankruptcy Court | F&G sued a former broker for allegedly engaging in a $40.3 million life insurance rebating scheme. |
Key Points:
- Recurring pattern of class action lawsuits involving Fidelity & Guaranty Life.
- Allegations range from deceptive marketing practices to data breaches and financial schemes.
- Several lawsuits settled with significant payouts, but some remain ongoing.
- Consumers who believe they may have been harmed are encouraged to consult with a lawyer.
Disclaimer: This information is not intended as legal advice. Individuals with specific concerns should seek professional legal guidance.
