The Wealth Extraction Industry (cont.)

I have now received two letters from Universal. One is a cancellation notice of the policy I didn’t know I had. The other is a response to the NCDOI. I also received a letter directly from the NCDOI. As of yesterday, the money has still not been refunded. The following is the OCR’d response.

As you are aware, Universal and Allstate entered into an agreement to rollover some policies that Allstate was terminating. The process was that Universal would offer coverage to these individuals based on information from Allstate. The policy was either accepted (by sending payment) or rejected (by requesting cancellation or not sending in payment) by the insured. In Mr. [removed] case, we received payment from the mortgage Company so the policy was continued in force.

[removed] was sent a new business packet as well as the initial billing on this policy, however, both parcels were returned to us. Two weeks earlier the mortgage company contacted us to change the method of billing from Mr. [removed] to the mortgage company. We then wrote to the agent to request the correct mailing address for Mr.

We were first advised on February 15, 2013 that that Mr. [removed] had homeowners coverage elsewhere when the mortgage company (US Bank) called to advise they sent the insured’s payment to us by mistake, and that he has had other coverage since April 30, 2012. Initially, we advised Mr. [removed] that while we cannot backdate the cancellation that far, in order to refund his premium we will need proof of coverage from his current carrier, a signed request from him to cancel the Universal policy, and a paid receipt indicating he paid the other company’s premium.

Upon reviewing this entire issue, it would appear to me that the best option is for us to flat cancel Mr. [removed] policy back to inception and refund his premium in full to his mortgage company. You may advise him that we will be doing this as soon as possible. I am however, advising Mr. [removed] of the same by copy of this letter. Should you have any questions, please contact me.

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