EDWARDSVILLE — The beneficiary of a $350,000 life insurance policy claims the insurer and one of its agents wrongfully denied her benefit claim.
Linda Niester and the Estate of Douglas Niester filed a complaint July 29 in the Madison County Circuit Court against Troy Lowe, Ameriprise Financial Services Inc., and Riversource Life Insurance Company, alleging breach of contract, breach of fiduciary duty and vicarious liability.
According to the complaint, Douglas Niester purchased a Riversource life insurance policy through Lowe that included a death benefit of $350,000 for which Linda Niester was the sole and primary beneficiary. Linda Niester was also named as Douglas Niester power of attorney for property and healthcare on Jan. 26, 2015. She claims that on that same date, she met with Lowe and signed authorization forms naming her as the "administrator" of Douglas Niester's accounts.
The plaintiff claims that on Aug. 3, 2015, she was not allowed to make a payment on the policy and was told she had no "administrative authority." She also claims that over the next few days, she attempted to contact Lowe but his office was closed and he was unreachable by phone. Douglas Niester passed away on Aug. 6, 2015. The following day, Linda Niester met with Riversource and issued a payment. She alleges that after filing a claim for the death benefit on Aug. 13, 2015, she was denied the benefit due to nonpayment of premiums.
The plaintiff seeks monetary relief of more than $50,000 and all other proper relief. She is represented by Joseph Harvath of Byron Carlson Petri & Kalb LLC in Edwardsville.
Madison County Circuit Court case number 20-L-107