| T.R | Title | User | Personal
Name | Date | Lines |
|---|
| 149.1 | ...return of excess premium... | MIMS::SOVEREIGN_S | but once a knight is enough(?) | Thu Apr 09 1992 11:40 | 6 |
| I don't think so. Seems like insurance policy "dividends" are defined
as "return of excess premium". (Defined this way by the insurance
companies themselves.) But, in the final analysis, see if they send
you a 1099. If they do, you have to report the income.
SteveSov
|
| 149.2 | | NOTIME::SACKS | Gerald Sacks ZKO2-3/N30 DTN:381-2085 | Thu Apr 09 1992 12:05 | 5 |
| .1 is correct. I've been receiving "dividends" from Metpay for my homeowners
insurance since I've had it, and I've never received a 1099. This year,
they've started giving a dividend to DECcies with auto insurance -- at least
those in Mass. It was a pleasant surprise, especially since the two checks
arrived on the same day as our income tax refund.
|
| 149.3 | Found money... | ELWOOD::KAPLAN | Larry Kaplan, DTN: 237-6872 | Thu Apr 09 1992 13:27 | 3 |
| ... In my case it was over 300 bucks !
L.
|
| 149.4 | Not a dividend | AIDEV::POLIKOFF | LMO2-1/C11 Marlboro MA 296-5391 | Thu Apr 09 1992 15:18 | 19 |
| By law, insurance companies do not give dividends - ever. It does not
matter what they call it, the money they give you back at the end of
the year is what they over charged you during the year. They do not pay
you any interest on this over charge either. Some companies keep the
over charge.
This went through the courts a few years ago and the judge ruled
that it was a refund of an over payment.
Term insurance companies were delighted with this ruling because
they were able to show their customers that they did not over charge
their customers like the other insurance companies did.
Insurance companies morally should send you an apology at the end of
each year stating that they over charged you and were giving you back
some money. Legally they can call this money anything they want. Notice
that they did not send you a 1099 with the check.
Arnie
|
| 149.5 | Who me, I didnt get a check.. | ELWOOD::PITTER | | Fri Apr 10 1992 14:57 | 7 |
|
I sorta figured it wasn't a real "dividend". Can't be too
careful around IRS.
thanx
ap
|
| 149.6 | | CARTUN::MISTOVICH | | Wed Apr 22 1992 12:54 | 6 |
| I kindof figured as much and wondered about the interest too. What a
nice deal for them. A few dollars lost to each of us, quite a few
gained by them.
sigh,
mary
|