How To Guide For: A Look At The Prudential Involvement In The Wells Fargo Scandal

Prudential Financial is investigating whether Wells Fargo employees signed up customers for its life insurance policies without their knowledge. Prudential has a partnership with Wells Fargo to sell a low-cost life insurance policy, known as MyTerm, to the bank's retail customers. Since bankers are not licensed to sell insurance, Wells Fargo employees were meant to direct customers to either self-service kiosks in branches or online to buy the insurance, without getting into specifics about the products. But according to a wrongful termination suit filed in New Jersey state court by three former managers in Prudential's corporate investigation division who say they were fired in November for trying to escalate their discoveries internally within Prudential -- Wells Fargo employees appear to have signed up bank customers for the Prudential policies without the customers' knowledge or permission. In some cases, policies were opened and closed after a month or two and then reopened, and sometimes monthly fees were withdrawn from the accounts, according to evidence in the lawsuit. Scot Hoffman, a spokesman for Prudential Financial, said the insurer had been monitoring its business with Wells Fargo since last year. The insurer expanded the review of how the product was sold after Wells Fargo was fined in September. To get more information on the Prudential involvement in the Wells Fargo Scandal click the pictures below to read the articles.