– Deferred compensation: Thousands of employees harmed by acquisition costs/zillmerisation – A bribery scandal with a long tradition The sparrows have been whistling it from the rooftops for many years: Works councils, personnel managers and company directors are happy to let the agent/insurance broker give them a share of the commissions. There is the […]
Artikel zum Thema: Zillmerization
Employee damage due to company pension scheme
In a ruling of 15 March 2007 (reference number 4 Sa 1152/06), the Munich Regional Labour Court ordered an employer to reimburse a former employee for the difference between the “premium sum of converted wage contributions” and the “surrender value” at the end of the employment relationship. After about 3.5 years of deferred compensation through […]
Allegations of corruption in the insurance distribution of company pension plans
Allegations of corruption in the insurance distribution of company pension plans The most recent investigations by the public prosecutor against insurance sales in connection with the bAV-IVECO affair weigh heavily: an insurance broker was able to bribe a confessed works council with six figures from lavish commissions presumably amounting to millions. The insurance industry […]
Liability traps with the time value account
Time value accounts and the models of partial retirement are paid by the Financial sales increasingly advertised. The financial intermediaries it’s mostly about commissions: The fewest intermediaries know about the civil and criminal law Liability risks for fiscal Consultants and the management the employer. In order to create an implementation channel for the company pension […]
Occupational pension scheme: Insurer liable due to lack of information about the consequences of a change of employer
In a judgment of 13 September 2007, the Higher Regional Court (OLG) of Celle ruled on the consequences of incorrect advice given to employees regarding the modalities of continuing an insurance policy taken out as part of an employee-financed occupational pension scheme in the event of a change of employer. The employer had taken out […]
Life Insurance
Consulting errors There are claims for additional payments for life insurance customers in the billions. The Federal Court of Justice (BGH) decided in its ruling of 26 September 2007 (ref. IV ZR 321/05) that policyholders may be entitled to a minimum surrender value after termination. This also applies to unit-linked life insurance policies. Experts […]
Divorce reform: New pension equalisation scheme
Additional costs and liability risks for employers – principle of “internal division” distributes opportunities and risks between spouses Until now, pension entitlements have been calculated using “error-prone forecasts” and often with “value distortions via the present value ordinance”, made comparable with statutory pension insurance entitlements and then the difference in value of all entitlements acquired […]
Company pension scheme: Early termination of insurance contracts in the event of a change of employer
Reader A. S. asks: In the BC July 2007 issue, I read with great interest the article on occupational pensions and the employer’s obligation to offset losses in the case of deferred compensation. Following this, I invited our insurance agent to come in for a chat. He informed me inter alia: In the example case […]
More rights for policyholders
Re-billing and additional payment for unit-linked life insurance policies Many people are too well brought up to speak with their mouths full; but they have no qualms about doing so with their heads empty. (Orson Welles) Insurance companies owe re-invoicing and subsequent payment in the case of unit-linked life insurance policies, the Federal Court of […]
BGH: In the case of unit-linked life insurance policies, insurance companies owe re-invoicing and additional payment
Trade, economy, finance, banks & insurances Press release by: Law Firm Dr. Johannes Fiala (openPR) – insurance companies owe half of the “ungezillmerten” fund credit with fund-bound capital life insurances – many humans are too well educated, in order to speak with full mouth; but they have no doubts to do this with empty head. […]