Transamerica Faces Suit Tied to Long-Term Care Buyout

Transamerica is facing a lawsuit involving a long-term care insurance policyholder who accepted a benefits buyout offer, then died before the insurer paid for the buyout.

Russell Kozey, the executor for the estate of Patricia Kozey, filed the suit recently in a state court in Milford, Connecticut.

Kozey bought the policy in 2000. Transamerica offered to buy the policy back in September 2022. Kozey accepted the offer, and Transamerica agreed to pay her $63,324.56.

“The defendant’s offer did not contain any other essential terms,” according to the complaint.