Allianz lawsuit given class-action status

Published: May 12, 2007 at 9:25 PM
Order reprints
MINNEAPOLIS, May 12 (UPI) -- National class-action status has been granted to a Minnesota lawsuit accusing Allianz Life Insurance of North America of deceptive practices.

Allianz, based in the Minneapolis suburb of Golden Valley, said Friday it plans to appeal the ruling, which did not address the validity of the allegations that it used deceptive sales and marketing tactics to sell annuities to senior citizens.

"Allianz Life has and will continue to mount a vigorous defense, and we are confident that we will prevail," company spokesman Jim McManus said.

But U.S. District Judge Ann Montgomery's decision Friday in Minneapolis could affect as many as 400,000 people nationwide and expose the company to hundreds of millions of dollars in damages if it were to lose the case, the Star Tribune reported Saturday.

"There is a lot of money involved," said Karl Cambronne, a partner in the Minneapolis law firm that brought the suit.

The Minnesota case is the largest of four class-action suits charging Allianz used deceptive tactics to sell unsuitable annuities to seniors.

Experts contend the elderly should not buy deferred annuities because they tie up money -- sometimes long past life expectancy -- and also are difficult for heirs and beneficiaries to access.


© 2007 United Press International, Inc. All Rights Reserved.



Your Daily Horoscope
The almanac
Panetta: Congress not told of CIA program
Biden goes on the road to defend stimulus
The two-edged sword of online games
Rio Tinto employees face spy charges
Ghana prepared to greet Obama
fark
Tennessee Aquarium presents a bowl full of ugly-ass baby penguin. A little milk and we'll have a...
Judge allows Twitter-using DA to 'tweet' upcoming muder trial over defense objections. Prosecution's...
Photoshop theme: The end of the universe
NY Times thinks their website users would pay five bucks per month. Listen, for the last time, no...
Fewer calories allow monkeys to live longer. Good thing you're not a monkey
"Resident found out it's not OK to shoot raccoons and gerbils...He told police that he and his neighbors...