Tuesday, February 24, 2015

Nationwide is NOT on your or my side!

I've had life insurance with Nationwide since the 1980s - back then the small company was called Presbyterian Minister's Life (I wasn't one but somehow qualified for a policy) and then they were bought by Provident Life who was then somehow acquired by Nationwide.

It was always term (or rental-type life insurance) so I could keep the benefit high and the premium low.

In 2008 my agent called to say that because of my age, my term costs were about to take a big jump. He recommended a different kind of policy that would keep my premiums the same. Higher than I was paying right then but lower than they would be soon with term.

So I signed and moved over.

Last September 2014 he calls again to let me know that my policy wasn't making enough money to pay my premiums. Huh? I thought my premiums paid my premiums! And my coverage would run out before too long. I didn't grasp this and had other things going on, he said I had until 2015 to work things out so I decided to wait.

In Dec. (I think) my house and car insurance guy called to ask for a review of those policies. I put that off until one day picking up pizza right next door, I decided to drop in and set an appt.

We met and I asked him to look at my life insurance also. He pulled together a few quotes for my age and WOW! was I shocked! Almost triple what I'm paying now. So he suggested we also have Nationwide give me a quote. My life agent had not done that yet. So we conference-called them and requested a quote. A few days later an email came and N-Wide's price was about 5 times my current premium!

First of all I am upset at my agent for not doing what I wanted - which was to keep my premiums levels. Likely he'll say he told me and that this is just the way insurance works and I should have known or asked or ...

I was so mad I decided to cancel and I did! So please don't kill me now because I currently am uninsured for that sort of thing! I wrote N-Wide and my agent. I went to my bank to put a stop pay on my account for any future withdrawals of premiums.

That was more than a week ago. Today I get a notice from N-wide saying 1) I have to fill out a surrender form and 2) here's a bill for your next premium!

Unbelievable!

So having learned my lesson here, read the fine print and still ask questions. Don't believe ANYTHING your agent tells you if their is somehow a commission involved. You would not believe how much front and back end loaded these policies are with stuff that does NOT go for insurance. None of my premiums for several months paid for insurance in the beginning and there is of course a Surrender Charge to go along with my Surrender Form.

I know I won't win this one. I'd just like to break even. Rant now over.