Lawsuits filed against Life Partners, Inc. have accused the life settlements company of misleading consumers about the value of its investment products. The allegations in these cases center on the life expectancy estimates that were issued by a physician named Dr. Cassidy used by Life Partners to provide life expectancy assessments that were used in selling investors life settlements. Individuals who purchased life settlement investments through Life Partners based on Dr. Cassidy life expectancies may be entitled to substantial damages in a court of law.
Life settlements are life insurance policies that are sold by the purchaser for a cash payment that is less than the face value of the policy. The purchasers of these life settlement policies buy them for investment purposes. When the individual who originally purchased the policy dies, the policy limits (known as the death benefit) are paid to the investor who purchased the policy. When a policy is acquired by an investor, they assume the obligation to pay premiums on the policy to keep it in force.
The price that an investor should be willing to pay for a policy is determined by 3 primary factors: the face amount of the policy, the cost of the premiums to keep the policy I force and the life expectancy of the person whose life is insured. As to life expectancy, the shorter the life expectancy, the more valuable the policy because the death benefits will be paid sooner and the amount of premiums that will need to be paid is much lower.
Life Partners is accused of misrepresenting the life expectancies of the individuals who were insured under its life settlement investments, making the investments appear more valuable than they actually were. According to lawsuits filed against the company, Life Partners hired Dr. Cassidy to provide life expectancy assessments when he had little or no experience in providing such assessments, and when there were numerous professional life expectancy providers who could have been hired instead. The lawsuits also allege that Life Partners knew that Dr. Cassidy’s assessments were wrong but continued to use them.
The law firm of Heygood, Orr & Pearson has filed Life Partners lawsuits on behalf of investors across the country who believe they were misled by the company about when the life settlement policies would mature. If you or a loved one invested in a Life Partners life settlement, you may be eligible to join one of the lawsuits that have been filed on behalf of investors. For a free legal consultation from an attorney to find out if you qualify, contact Heygood, Orr & Pearson for a free consultation. You can reach us by calling toll-free at 1-877-446-9001, emailing us at email@example.com or by completing the free case evaluation form located on this page.