MetLife accused of not paying out death benefits

May 23, 2011 8:08:31 PM PDT
MetLife defended itself on Monday at a state hearing, accusing it of not paying out death benefits.

The hearing was called by Insurance Commissioner Dave Jones and State Controller John Chiang. Accusations surfaced against MetLife following an audit launched in 2008.

Jones said one preliminary estimate said MetLife shorted policy holders as much as $1 billion.

MetLife defended its policies to locate customers who have lost touch with the company and says its paid out $11 billion in benefits last year.