Frequently Asked Questions
This page provides the answers to class members’ most frequently asked questions.
The information provided is in summary form and is not intended as a complete explanation of your rights. For full and complete information, you are directed to review carefully the Notice of Class Action Lawsuit.
What is this Lawsuit About?
This lawsuit is about whether KC Life’s cost of insurance rates were consistent with the policy language of its flexible premium adjustable life insurance policies for the following products issued: Better Life Plan, Better Life Plan Qualified, LifeTrack, AGP, MGP, PGP, Chapter One, Classic, Rightrack (89), Performer (88), Performer (91), Prime Performer, Competitor (88), Competitor (91), Executive (88), Executive (91), Protector 50, LewerMax, Ultra 20 (93), Competitor II, Executive II, Performer II, Ultra 20 (96), or Century II VUL (“Policy” or “Policies”). The Policies have a “Cash Value,” “Accumulated Value,” or “Contract Value” that accumulates value through interest or investments. The Policies expressly authorize monthly deductions from the cash value, accumulated value, or contract value of expense charges and a cost of insurance charge. Plaintiff alleges that KC Life violated the Policies in three different ways. First, the Policy permits KC Life to deduct the cost of insurance charge calculated using a cost of insurance rate. The Policies provide that the monthly cost of insurance rate used “will be determined by [KC Life] based on [KC Life’s] expectations as to future mortality experience.” Plaintiff alleges that KC Life impermissibly uses factors other than those identified in the Policy when setting cost of insurance rates.
Second, while the Policy permits expense charges, Plaintiff alleges that KC Life impermissibly exceeds the fixed amount for expense charges and includes amounts exceeding the expense charges in the deduction for the cost of insurance charge. Third, Plaintiff alleges that the Policy requires KC Life to reduce its cost of insurance rates to reflect its improved mortality expectations. Plaintiff also alleges KC Life’s actions relating to deductions from policy owners’ cash values, accumulated values, or contract values make it liable for conversion.
How does KC Life Answer?
KC Life denies all of Plaintiff’s claims. KC Life has asserted numerous legal and factual defenses. KC Life contends, among other things, that it has determined and determines cost of insurance rates in compliance with the terms of the Policies and that KC Life’s administration of the Policies, including Plaintiff’s policy, has been at all times consistent with the terms of the Policies, the terms’ common usage, industry practice, the understanding of regulators, and the reasonable expectations of policy owners. KC Life further denies that the claims asserted in the lawsuit are appropriate for class or representative treatment.
Has the Court decided who will win?
No. The Court has not decided and is not suggesting who will win this case.
What are the Plaintiffs asking for?
The Plaintiffs are asking that the Class be compensated for amounts that were allegedly included in the cost of insurance and expense charges beyond what they allege the Policy allows. Plaintiffs also seek pre-judgment and post-judgment interest, punitive damages, and such other relief the Court permits.
Is there any money available now?
No money or benefits are available now because the case has not yet gone to trial, and the two sides have not settled the case. There is no guarantee that money or benefits will ever be obtained.
Am I part of the Class?
The Court has certified the following Class: All persons who own or owned a Better Life Plan, Better Life Plan Qualified, LifeTrack, AGP, MGP, PGP, Chapter One, Classic, Rightrack (89), Performer (88), Performer (91), Prime Performer, Competitor (88), Competitor (91), Executive (88), Executive (91), Protector 50, LewerMax, Ultra 20 (93), Competitor II, Executive II, Performer II, Ultra 20 (96), or Century II VUL life insurance policy issued in California, that was issued or administered by KC Life, or its predecessors in interest, and that was active on or after January 1, 2002.
If someone who would otherwise be a Class Member is deceased, his or her legal representatives are Class Members.
The Class excludes: KC Life; any entity in which KC Life has a controlling interest; any of the officers, directors, employees, or sales agents of KC Life; the legal representatives, heirs, successors, and assigns of KC Life; anyone employed with Plaintiff’s counsels’ firms; and any Judge to whom this case is assigned, and his or her immediate family. If these exclusions apply to you, you are not a member of the Class.
What happens if I do nothing at all?
You don’t have to do anything now if you want to keep the possibility of getting money or benefits from this lawsuit. By doing nothing you are staying in the Class and you will be legally bound by the Orders the Court issues and judgments the Court makes in this class action. If you stay in the Class and the Plaintiffs obtain money or benefits, either as a result of the trial or a settlement, you may either be compensated automatically if you qualify for relief or be notified about how to apply for a share. If you do nothing now, regardless of whether the Plaintiffs win or lose the trial, you will not be able to sue KC Life about any legal claim that is or could have been included in this lawsuit.
How do I ask the Court to exclude me from the Class?
To be excluded, also sometimes referred to as “opting out” of the Class, you must send an “Exclusion Request” in the form of a letter sent by mail, stating that you want to be excluded from Fine v. Kansas City Life Insurance Company. Be sure to include your name, policy number and address, and sign the letter. A form for your use is included in this notice. You must mail your Exclusion Request postmarked by April 23, 2024, to the following address:
Fine KCL Litigation
P.O. Box 2009
Chanhassen, MN 55317-2009
Alternatively, you can complete your Exclusion Request online.
How and when will the Court decide who is right?
Unless the lawsuit is resolved by a settlement or otherwise, Class Counsel will have to prove the Plaintiff’s claims. During the lawsuit, a jury or the Judge will hear all the evidence to help them reach a decision about whether the Plaintiffs or KC Life are right about the claims in this lawsuit.