The Prudential brand is making news on both sides of the proverbial Pond.
British insurer Prudential PLC is poised to acquire AIG’s Asian life insurance unit for $35.5 billion, according to a recently published report that estimated $25 billion would be paid in cash and $10.5 billion in equity hat could include preferred stock.
A deal for AIG’s American International Assurance business would represent the largest asset sale for the embattled American International Group, Inc., which is the leading recipient of U.S. government bailout money.
Closer to home, the Prudential Insurance Company of America faces a nationwide class-action lawsuit on behalf of long-term disability claimants who are appealing denied disability income benefits for a second time since November 2005.
Attorneys with Dell & Schaefer filed suit in the Eastern District of New York Federal Court to prevent the insurer from conducting what it described as “unlawful voluntary appeal reviews” that violate ERISA and have thousands of denied cases be re-evaluated. A Prudential spokesman declined comment, explaining that the company has not had a chance to review the lawsuit.
