Monterey, CA : Elder Abuse Can Come In Many Forms : Even From Insurance Agents!

Monterey, CA : Elder Abuse Can Come In Many Forms : Even From Insurance Agents!  View From A Non-Profit Serving Carmel, Carmel Valley, Carmel-by-the-Sea, Gonzalez, Greenfield, King City, Marina, Monterey, Pacific Grove, Pebble Beach, Salinas, Seaside And Soledad California

For what may be the first time in history, an independent insurance agent was sent to jail on a felony theft conviction for selling an annuity to an 83-year old woman who prosecutors said shown signs of dementia.  Insurance agents "who steal from vulnerable seniors will not get away with their shameful tricks," Florida's insurance commissioner Steve Poizner said in 2010 when the insurance agent was originally arrested.  The insurance agent said the woman didn't seem confused at the time he completed the transaction, but obviously he was not persuasive in his arguments as he was found guilty.  Although annuities provide protection of principal, they often have steep penalties for withdrawal that can last a decade or more, not exactly something an 83-year old would want to have to face, and in this case did.  The case came to light after the woman went to her bank to withdraw $175,000 for the original purchase of the annuity and the bank manager notified California's adult protective services because she seemed confused.  The woman became ill and had to cash out of the annuity this January, and faced steep penalties for doing so.  This story in the Wall Street Journal showed that elder abuse can come in many shapes and forms.  Kudos to the bank manager for being on his toes and alerting adult protective services when he saw a transaction which looked suspicious.