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There has been quite a few messages posted to insurance related message boards by victims venting about AFLAC's internal problems. Some of it is accurate and some is simply speculation.
Here is a qualified and documented explanation as to what has been going on within AFLAC.
Between 1992 and 2003, the expected operating income swelled to $968-million ranking the company number #41 out of the top 50 in performance. Then came the fiasco.
Most of you have heard of "Parmalat" the giant Italian dairy company going "belly up".
Well it turns out that AFLAC held $428-million in bonds with Parlamat which equated to about 25% of all of Parlamat's bonds held by US Insurance Company Invetors.
The bottom line is, AFLAC took a $257-million loss which severely dipped into AFLAC's gains of an estimated $968-million.
If an insurance company doesn't have in its coffers money to pay claims filed against it's policies, then the claimant simply has to wait until they do.
Need I say more? I hope this posting helps to clear up the mystery surrounding the core of why so many complaints are being posted to these types of message boards venting about the denial and tardiness of the payment of AFLAC claims.
Maybe one of these days insurance company "Fast Buck" Investment Counselers will learn that they have a fiduciary duty to the public to invest the public's dollars in a prudent manner and cease being so greedy and restless.
Just look at the large numbers of insurance companies went into receivership over the "Junk Bond" issue some fifteen years ago. It seems to me ALL of the Industry's Insurance Companies would have learned a lesson back then in lieu of continuing to invest money recklessly in the name of "Greed". :-(