Commercial Solicitation of Military Personnel on DoD Installations
Abstract
DoD civilian and military personnel who are involved in managing and preventing inappropriate personal commercial solicitations on DoD installations and personnel responsible for providing financial training to military personnel should read this report. Public Law 109-290, "Military Personnel Financial Services Protection Act," September 29, 2006, section 14, directs the DoD Inspector General to conduct a study on the impact of the reforms included in this Act and of DoD Instruction 1344.07, "Personal Commercial Solicitation on DoD Installations," March 30, 2006, on the quality and suitability of sales of securities and insurance products marketed or otherwise offered to members of the Armed Forces. The reforms contained in Public Law 109-290 and the impact of revised DoD Instruction 1344.07 have been partially effective in reducing commercial solicitations of inappropriate life insurance products to military personnel by sales agents on the DoD installations visited. However, commercial solicitations and sales of inappropriate life insurance products are occurring off base. As a result, junior enlisted Service members are still purchasing high-cost life insurance products that are considered inappropriate and may threaten their financial stability. The Navy must take additional steps in protecting junior enlisted naval personnel at Naval Station Great Lakes from the sale of inappropriate life insurance products and dishonest and predatory sales practices. Problems identified in 2005 and 2006 with inappropriate sales of life insurance products continue. As a result, junior enlisted personnel were transported off post to a financial planning agency and persuaded to sign up for supplemental life insurance products that are considered inappropriate. In addition, unauthorized access by financial planning agency employees to MyPay subjects junior enlisted sailors to having allotments taken from their pay for inappropriate life insurance products.
Document Details
- Document Type
- Technical Report
- Publication Date
- Apr 07, 2008
- Accession Number
- ADA499350
Entities
People
- Alexander L. Mckay
- Allison Tarmann
- Carol Gallo
- Catherine J. Faith
- John J. Collins
- Mandy L. Rush
- Monica L. Noell
- Robert E. Schonewolf
- Robert F. Prinzbach
- Thomas S. Bartoszek
- William O'brien
Organizations
- Office of the Inspector General, U.S. Department of Defense