Life & Health Insurance/life insurance
My great grandmother paid our life insurance fees since 1974. In 1998 my great grandmother passed away. That's when i found out that my aunt and her friend, who worked for insurance company, cashed in my and my brothers life insurance policies. I called the insurance company only to find that my name was not in system as ever holding a policy. My brother's name was there but no information regarding his policy. Out of frustration i never looked or searched further. Now in curious to know what can be done? Thank you.
Sadly, very little. As a minor you could have been a beneficiary, but I'd bet your Gmom was the owner. As such she had total control of administering the policy. She could have changed beneficiary designations, decreased the face value, taken what is called a paid up policy (one in which she stops paying premiums and the company will offer her a policy for a lower face amount on which she would no longer pay premiums, and it would just sit until she died.
As for your Aunt, it's possible your Gmother gave her a power of attorney meaning she had legal right to do most anything in your Gmothers name, not the least of which would be surrendering her life insurance for the cash value.
In my near forty years in practice people never ceased to do things with no concern for any one else. When there is $$$ involved very little concern or conscience is involved.
You could write a letter to the Dept. of Insurance and ask them to look into it, but unless you have some3 sort of proof she was tricked or otherwise defrauded I would not place much stock in them.
David Clark, CFP