CHARLOTTE, N.C. — Two-time NASCAR Cup Series champion Kyle Busch and a life insurance company have settled an $8.5 million lawsuit in which the 40-year-old driver said he was misled into purchasing policies marketed as safe retirement plans.
Kyle Busch and his wife, Samantha, reached an out-of-court settlement with Pacific Life Insurance Company, according to a Feb. 26 court filing. Terms were confidential.
“Both sides worked constructively to achieve a confidential result that is mutually acceptable and avoids further legal proceedings,” Pacific Life said in a released statement.
The Busches sued Pacific Life last October, claiming they lost more than $8.5 million after being misled into purchasing life insurance policies. They claim they paid more than $10.4 million in premiums based on misleading illustrations and false promises of guaranteed returns.
The lawsuit accused Pacific Life and one of its agents of marketing indexed universal life policies as “tax-free retirement plans” using speculative projections that failed to disclose true risks and costs. The complaint claimed the company prioritized commissions over policyholder interests and violated North Carolina’s Unfair and Deceptive Trade Practices Act.