A suit seeking the accounting of the life insurance policies of one of Texas' most influential plaintiff's attorneys and his wife has been filed against American General Life Insurance Co.
Gilbert Low, as trustee for the Reaud Children's Insurance Trust, filed the petition on May 3 in Jefferson County District Court.
According to the lawsuit, on March 27, 1992, All American Life Insurance issued four policies on the lives of Wayne and Dana Reaud. The policies were so-called last-to-die policies. The full amount of the premium was paid upon issuance, no further premiums were to be owed and the policies would not lapse.
However, the insurer, currently American General, recently began to issue notices for additional premiums, which it eventually told the plaintiff that he could ignore because no additional premiums were actually owed.
As the incident was investigated, other policy questions arose, including whether the polices were in fact paid up and when, if ever, they would lapse, the suit states.
The plaintiff requires an accounting of the polices to calculate the interest earned and the cost of insurance over the life of the policies.
The plaintiff is asking the court to clear up the outlined issues.
Attorney Gary Reger of the Orgain, Bell & Tucker law firm in Beaumont represents the plaintiff.
Judge Bob Wortham, 58th District Court, is assigned to the case.
Case No. A192-402