Green Reintroduces Bill Forcing Corporate Disclosure of Life Insurance Policies
February 7, 2003
Washington, DC - Congressman Gene Green has reintroduced the Life Insurance Employee Notification Act (LIEN), forcing large corporations who take out life insurance policies on their employees or their family members to inform the worker and reveal the amount of each policy. The bill, H.R. 414, would also require employers to notify former employees or family members of any policy going back to January 1, 1985, and to notify existing employees within 90 days of enactment of the bill.
This bill will stop corporations from hiding these policies and force them to let their workers know that their employer stands to gain hundreds of thousands of dollars if they die unexpectedly, while their survivors receive nothing, said Green. We gained support for this legislation in the last Congress, and we will push this forward in the 108th Congress to get a hearing and pass this bill.
Corporations who take out corporate-owned life insurance (COLI) often collect hundreds of thousands of dollars when a current or former employee dies, while the unsuspecting and grieving family receives nothing.
Our free enterprise system works but what our major corporations are doing at the time of their employees death does not pass the smell test, added Green. The LIEN Act protects the American worker from the deceptive practices of large corporations that are trying to make an extra buck from the future deaths of their employees and even their families.
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