Seven insurers in Taiwan were fined today for carelessness in their reviews before agreeing to insure a man who was allegedly murdered last September.
The seven companies didn’t do their due diligence, failing to notice, Wu Chih-te, was paying $7,924 a year in insurance premiums on nine policies, worth over $1,584,638, despite his financial situation making that highly implausible.
Wu was found dead on Sept. 29, with his wife and four accomplices suspected of colluding to kill him in a staged car accident near a lake in a bid to claim death benefits from the insurers.
The country’s top financial regulator, the Financial Supervisory Commission, slapped six of the firms – Taian Insurance, Cathay Century Insurance, Shin Kong Life Insurance, CTBC Life Insurance, BankTaiwan Life Insurance and Chung Kuo Insurance – with $70,948 fine.
The insurers were penalised for failing to verify information related to the job and income of Wu. The companies also failed to check whether any other companies had insured Wu with the Life Insurance Association of the Republic of China.
A seventh insurer, TransGlobe Life Insurance, was fined $23,770 for failing to report information related to Wu's policy to the association.
The seven companies didn’t do their due diligence, failing to notice, Wu Chih-te, was paying $7,924 a year in insurance premiums on nine policies, worth over $1,584,638, despite his financial situation making that highly implausible.
Wu was found dead on Sept. 29, with his wife and four accomplices suspected of colluding to kill him in a staged car accident near a lake in a bid to claim death benefits from the insurers.
The country’s top financial regulator, the Financial Supervisory Commission, slapped six of the firms – Taian Insurance, Cathay Century Insurance, Shin Kong Life Insurance, CTBC Life Insurance, BankTaiwan Life Insurance and Chung Kuo Insurance – with $70,948 fine.
The insurers were penalised for failing to verify information related to the job and income of Wu. The companies also failed to check whether any other companies had insured Wu with the Life Insurance Association of the Republic of China.
A seventh insurer, TransGlobe Life Insurance, was fined $23,770 for failing to report information related to Wu's policy to the association.
