Watchtower Insurance - conflict of interest ?

by Pterist 9 Replies latest watchtower bible

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  Pterist

  I open this thread as a new topic after receiving an update from Atlantis on WBTS insurance coverage.

  While we are on the subject of insurance , does anyone know if the org. takes out life insurance on its members ?

  Recently, it was exposed that Walmart and a lot of businesses take out a "special" life insurance on their employees. However, what is NOT know is that this life insurance is paid to Walmart or whatever company, NOT to the employees family. The analogy was given, that this would be like you taking out fire insurance on your neighbours house ! With respect to the org. One could infer a conflict of interest with their policy on blood ! ? Any info, comments, outburst !?
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  Chaserious

  A lot of businesses take out life insurance on high level managers and executives. I disagree that it is not known that the payouts go to the company and not to the employee's family. Lots of people know about this and it's a common practice. I don't have a problem with it. If a Vice-President of Wal-mart dies, it might be difficult to find someone else capable of doing the same job and expensive to train the new person. Also if the things this person was in charge of suffer for a while until someone new gets up to speed, the company could lose profits. If it was somebody that was uniqiuely good at what he did, the business might never be the same (think of someone like Steve Jobs). I don't have a problem with companies taking out insurance to protect themselves against something like that. It's not like you taking out insurance on your neighbor's house because if the employee is important enough there would be a loss to the company.

  I think that the issue with Wal-mart was that they were taking out policies on janitors and regular employees, which I do think is a problem, in that they were trying to exploit tax loopholes and profit from the deaths of low-level employees. I am sure the WTS could not take out life insurance policies on regular members. Whether they take out insurance on HQ people is a good question. It's probably hypocritical on some level but even if they did this it would be pretty mild on the spectrum of WTS hypocrisy.
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  problemaddict

  I do not believe this is done. In particular, this insurance is for high level executives that would cripple the organization. Since the WT has charitable giving status and is a non-profit, to insure it against losses does not seem possible.

  I agree with Chas that is isn't a problem for me on high level executives. But life insurance on managers and greeters would in fact be shameful. They have been caught with this before.
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  Splash

  Removed
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  Adiva

  Why would they need life insurance when they have life assurance? At least that's what my parents used to say.

  Adiva
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  Band on the Run

  It is normal business practice to insure the lives of key personnel. I believe this is a long standing custom.

  Also, as part of elaborate compensation packages for top executives, excessive life insurance was offered. In the United States, some progressives used the tax code as a device to provide life insurance to other employees more in need of the insurance. If you offer life insurance only to key executive, there are bad tax consequences. Without researching it, I believe that the insurance is counted as additional income to be taxed. If the plan is offered to different classes of employments with certain restrictions, such as years of service, etc., there are favorable tax consequences.

  They certainly are big business oriented for a meek, righteous little outfit. I don''t blame them for doing so. It is hard not to remark that they are not little King David.
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  gone for good

  Insurance is a huge way to hide/launder million in profits or excess 'donations' .

  Off-shore tax havens register as many phoney 'Insurance Companies' as they do phoney 'Banks'

  Huge legal firms design, manage and register thousands of 'locally legal' companies on your behalf. They put in place layer upon layer of deception, making it difficult to trace the actual principals and clients..

  If a major church or charity wanted to hide donations, they could register some secret, untraceable 'insurance' corporations.... and happily pay themselves way, way too much for insurance coverage...athe same level of secrecy making it impossible for any claims to make it to completion.

  Any of those wts lawyers have condos in Turks and Caycos, Isle of Wight, Luxembourg, Cayman Islands, etc... thats where the Mormons hide theirs.

  Don't suppose anyone has ever asked how much and who to is the wts making payments?
• 

  stillin

  It is my understanding that no life insurance policy may be instituted without the insuree's knowledge. This prevents murderers from getting rich. But if a person IS insured, whoever the beneficiary will be upon their demise is their business. In other words, they have agreed to help protect their "company" from the financial loss of having to be replaced.

  But we are talking about volunteers here, aren't we? If nothing is afoul of the law, there is certainly an ethical problem here.
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  Pterist

  Stillin *** But we are talking about volunteers here, aren't we? If nothing is afoul of the law, there is certainly an ethical problem here.***

  Apparently NOT

  According to CourtTV and the Tampa Tribune,Walmart has been secretly taking out life insurance policies on its employees and cashing them in when said employees pass away. That’s what happened to Karen Armatrout and her family, according to a lawsuit filed in U.S. District Court. From the Tampa Tribune:

  http://consumerist.com/2007/07/03/walmart-took-secret-life-insurance-policies-out-on-employees-collected-after-their-death/
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  stillin

  Pterist. I may stand to be corrected. My guess is that WalMart has got it covered