INSURANCE
From Times Staff and Wire Reports
Shearson Sued Over Insurance Products: A customer of First Capital Life Insurance Co. sued Shearson Lehman Bros. in state court in Chicago, charging that the brokerage misrepresented the risks associated with First Capital products it was marketing. Shearson also owns 28% of First Capital, which California regulators seized in May. In the suit, Bernard Giermak said he bought an annuity from First Capital in 1988 for $100,000. Since the insurer was seized, all policy redemptions have been blocked.
