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Ex-Globe Life exec claims insurer ignored unhealthy acts, brings whistleblower go well with

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Globe Life is being sued by a former govt who claims he was fired for blowing the whistle on “probably unlawful” gross sales practices.

Scott Dehning claims that Globe Life and subsidiary American Earnings Life Insurance coverage Co. fired him in Might 2023 after he reported “a transparent apply of unethical and probably unlawful enterprise practices” to Michigan regulators.

The lawsuit was initially filed in Michigan state courtroom, however Globe Life petitioned to have the case transferred to federal courtroom in Grand Rapids, Mich.

Dehning was vp of area operations from September 2015 till he was fired. In that function, he supervised about 17 state normal brokers, the lawsuit mentioned.

Within the authentic eight-page criticism filed in August, Dehning mentioned he seen sure gross sales practices with rising uneasiness. Dehning doesn’t element the conduct in query. He ultimately investigated and confirmed the “unethical and probably unlawful gross sales practices,” sharing his findings with the Globe Life govt workforce, the lawsuit states.

Globe Life didn’t reply to a request for touch upon the lawsuit, however the insurer denied all claims in a response to Dehning’s lawsuit. The insurer additionally filed a movement to dismiss for “lack of non-public jurisdiction.” Globe Life is “a Delaware company with its principal workplace in Texas,” the movement famous.

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‘Cease speaking’

The American Earnings Life govt workforce – CEO Stephen Greer, President David Zophin and Normal Counsel Joel Scarboro – didn’t take motion on Dehning’s considerations, the lawsuit states.

“On quite a few events, defendants’ govt workforce selected to disregard, cowl up or in any other case conceal the unethical and probably unlawful gross sales practices reported by plaintiff with an estimated price of over $2M in gross sales income,” the lawsuit states.

At one level, Dehning instructed American Life executives that he feared the corporate would lose its state-issued license to promote insurance coverage, in accordance with the lawsuit. Dehning ultimately turned to Michigan regulators himself in September 2022, the lawsuit mentioned.

Throughout a November assembly with the chief workforce, Dehning mentioned he was instructed that the Michigan Division of Insurance coverage has opened an investigation into the corporate. On the finish of that assembly, the lawsuit states, Scarboro instructed Dehning to “cease speaking to your mates,” a reference to Michigan insurance coverage regulators.

Within the ensuing weeks and months, the chief workforce would ignore Dehning throughout conferences and different work settings, the lawsuit states. On Might 19, 2023, he was “abruptly terminated with out warning,” the lawsuit states. The one purpose given for Dehning’s termination was that he was “a danger to the corporate,” in accordance with the lawsuit.

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Globe Life company named in harassment lawsuit

Dehning left the corporate one yr after one other lawsuit was filed accusing a top-selling American Life company of selling rampant workplace drug use, sexual abuse and degradation of brokers who missed gross sales targets.

Filed by agent Renee Zinsky in opposition to Simon Arias, Arias Businesses, Michael Russin, and American Earnings Life Insurance coverage Co., the lawsuit describes stunning acts, akin to workplace wrestling matches, use of date rape medication and sexual acts carried out in entrance of workers.

That lawsuit continues in a Pennsylvania federal courtroom.

Amy Williamson is an employment lawyer in Pittsburgh and one among Dehning’s attorneys within the lawsuit. Dehning noticed “a number of situations of misconduct akin to fraud, racial discrimination, and sexual harassment throughout the AIL companies on a broad scale which he reported to AIL executives,” she mentioned.

“Over time, Dehning started to appreciate that the AIL executives have been ignoring, concealing, or in any other case complicit with the misconduct,” mentioned Williamson, who additionally represents Zinsky. “As a excessive rating officer of a publicly traded firm, Dehning felt that he was obligation sure to escalate his considerations to the right regulatory companies.”

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