MetLife Accused of 44-Lakh-Taka Insurance Fraud in Dhaka

MetLife Insurance is facing severe scrutiny in Bangladesh following allegations of deceptive practices and the wrongful rejection of a death benefit claim. The nominee of a deceased policyholder has alleged that the global insurance firm has spent four years evading a legitimate contract worth 4.4 million Bangladeshi taka (approximately £30,000). Rather than honoring the full value of the policy, the firm has reportedly attempted to conclude the case by tendering a mere 44,000 taka (approx. £300)—an amount representing only the basic premiums paid before the policyholder’s death.

The detailed allegations came to light during a well-attended media briefing at the Maulana Mohammad Akram Kha Hall of the National Press Club in Dhaka on Sunday, 26 July. Mst. Chumki Akter, hailing from Santahar under Bogura district, addressed journalists to outline the persistent administrative barriers and mistreatment her family has suffered whilst seeking justice for her late father, Jalal Hossain.

Allegations of Misleading Protocols and Refusal of Settlement

According to Akter’s written testimony, her father subscribed to a life cover policy with MetLife and successfully completed two monthly premium payments of approximately 22,000 taka each. Following his sudden demise in 2022, Akter—acting as the designated nominee—complied with all institutional requirements and submitted the requisite verification files to collect the 4.4 million taka sum assured.

MetLife subsequently issued a repudiation letter, asserting that the policyholder had provided misleading information during the initial underwriting process, which theoretically invalidated the coverage. Akter disputed the claim, emphasizing that her father held parallel financial products with other major institutions, including Guardian Life Insurance and the state-run Sonali Bank. Both entities processed and disbursed the respective death claims and accrued savings without dispute or delay.

Seeking legal recourse, Akter served a formal legal notice upon MetLife. During a subsequent meeting at MetLife’s Motijheel office in Dhaka, an official named Mr Ali reportedly persuaded her to refrain from taking the matter to court. The representative collected details of a newly opened bank account and secured her signature on a 300-taka non-judicial stamp, ostensibly to process the release of funds.

Regulatory Oversight Requested Amid Allegations of Coercion

Subsequent legal review of the paperwork revealed that MetLife had structured the transaction to refund only the 44,000 taka in paid premiums, completely bypassing the primary death benefit. When Akter raised objections with Mr Ali, the official reportedly stated that no further funds would be issued.

“At no point did I give my consent to accept a settlement of 44,000 taka,” Akter stated during the press conference. “That amount was simply the premium money my late father had contributed. MetLife is using deceptive methods to return a trivial sum while systematically suppressing a major 4.4 million taka claim.”

Akter further alleged that upon voicing her opposition, the MetLife officer withheld the original policy documents, instructed her to resolve the dispute strictly through legal channels, and subsequently blocked the family’s phone numbers to terminate all direct communication.

Despite lodging written petitions with key regulatory bodies—most notably the Insurance Development and Regulatory Authority (IDRA) of Bangladesh—the family confirmed that no regulatory action or resolution has been achieved to date. The family has now publicly called upon law enforcement and governmental supervisory agencies to launch a thorough investigation into the conduct of MetLife and the officials involved, seeking immediate administrative intervention to secure the payment of the full policy amount.