Leading Industry Critic Charges Long-Term Care Insurance Carriers With Bad Faith / Racketeering

Demands Immediate Action by Congress

Mar 28, 2007, 01:00 ET from Insurance Consumers

    SAN FRANCISCO, March 27 /PRNewswire/ -- Issued by
 InsuranceConsumers.com. Ray Bourhis, author of Insult to Injury: Insurance,
 Fraud and the Big Business of Bad Faith, today demanded immediate
 Congressional action including the reform of ERISA Preemption, abolishment
 of the insurance industry's anti-trust exemption, and an increase in the
 rights of policyholders with long-term care insurance.
     Bourhis, of Bourhis & Mann in San Francisco, cited allegations made
 yesterday in a front page New York Times article entitled Aged, Frail and
 Denied Care charging that major insurance carriers are defrauding elderly
 people whose companies know they are too old and sick to fight back.
     Bourhis' criticism against the industry alleges that "some of the same
 characters who made billions by cheating disability policyholders are now
 going after the most vulnerable segment in our society -- chronically ill
 senior citizens.
     "Some of the people running these companies are total crooks. The
 industry has collected over $50 billion in premiums and now companies are
 delaying and denying clearly legitimate claims, knowing the companies will
 outlive their policyholders," Bourhis said.
     "The insurers don't give a damn about lawsuits, punitive damages,
 horrific publicity or anything else. We put Unum on 60 Minutes, Dateline,
 and the front pages of major newspapers all over America. Eliot Spitzer and
 John Garamendi levied millions of dollars in fines and publicly called some
 of these companies 'outlaws.' We obtained huge punitive damage verdicts
 that were unanimously upheld by courts of appeals. But none of that makes a
     "The profits earned by cheating policyholders far exceeds the price
 paid for doing so.
     "Insurance companies have learned all they have to do is put an ad on
 television and the public will soon forget everything else.
     It's time for Congress to get off the dime and do something about this."
     Contact Information:
     Ray Bourhis 415.407.7773

SOURCE Insurance Consumers