An Ohio company that helps generate leads for annuity sellers has negotiated a settlement with the Delaware Department of Insurance.
Investors Union L.L.C., Medina, Ohio, a company that does business as the Annuity Service Center, has agreed to refrain from doing business in Delaware without seeking prior approval from Delaware regulators, and it has agreed to pay $15,000 to cover Delaware’s investigation costs, according to Delaware department officials and Charles Oberly III, a Wilmington, Del., lawyer and former Delaware attorney general who represents Investors Union.
Regulators looked into Investors Union activities after the company sent Delaware residents postcards directing the recipients to call about “an annuity that has reached the end of its surrender period,” even though the firm did not have information about the recipients’ annuities, officials say.
The postcard included a disclaimer stating that recipients need not take action if they did not actually have any annuities, Oberly says.
Investors Union has about 50 employees and continues to engage in the business of generating leads for annuity sellers in states other than Delaware, Oberly says.
Although Investors Union has settled with the Delaware department, it has not agreed to endorse any department allegations stating that the company has done anything wrong, Oberly says.