Metropolitan Life Insurance is being sued by participants of its retirement plans for alleged underpayment. The plaintiffs claim that the company's benefits committee purposefully used outdated mortality rates to pay out less money. MetLife, which has customers in Washington D.C. and other parts of the country, faces this lawsuit in New York federal court.
Language in this lawsuit claims that the insurance company did not pay alternative benefits in accordance to regulations established by the Employee Retirement Income Security Act of 1974. Plaintiffs are demanding that their plans comply with ERISA and that they receive all previously withheld benefits. They also want MetLife to recalculate the already-paid benefits and present accounting information to determine what the actual errors were.
When asked to comment, representatives from the insurance company did not give any information. The Metropolitan Life Retirement Plan for workers in the United States had nearly $9 billion as of the end of 2016, based on its most recent Form 5500. Plaintiffs allegedly lost millions of combined dollars due to miscalculations.
Someone who is not getting fair ERISA benefits may be able to get the compensation they deserve by filing a lawsuit. Before proceeding, the victim could seek a consultation from an attorney who can examine the situation and recommend a course of action. Large insurance companies may seem like daunting adversaries, but fair payment can sometimes be found by navigating the court system. It's the attorney's responsibility to stay up to date regarding all relevant laws regarding retirement plans and insurance regulations.