—— Beware of Financial Scams’ “New Scripts”: Illegal Insurance Cancellation Agents Target Policies, Warmth-Filled Schemes Eye Retirement Funds
SHENZHEN, May 12, 2026 /PRNewswire/ — “Full refund on policy cancellation, no fee if unsuccessful” “Cancel old policy, buy new one, double your returns”… Have you encountered such pitches in your social media feeds, video comment sections, or unsolicited calls?
In recent years, financial cyber fraud and illegal agency-based policy cancellations have occurred frequently. Perpetrators precisely target insurance consumers, especially the elderly, using the guise of “rights protection” or “financial management” to commit fraud and extort money. To help consumers recognize scam tactics and safeguard their assets, Cigna & CMB Life Insurance Co., Ltd. Shaanxi Branch focuses on two typical scams—”illegal insurance agency intermediaries” and “cancel old policy, buy new one”—by creating scenario analyses of typical cases to visually deconstruct fraud methods and reveal risk consequences, taking concrete action to uphold a “clean financial network and secure consumer peace of mind.”
Typical Case 1: One Unsolicited Call Nearly Wiped Out Her Critical Illness Coverage
Aunt Zhang purchased a critical illness insurance policy years ago, paying premiums on time each year, with the policy’s cash value steadily growing. One day, she received an unsolicited call from someone claiming to be a “professional insurance rights protection consultant.” The caller alleged that Aunt Zhang’s policy had “loopholes in the terms” and “low returns,” offering to help her secure a “full refund on cancellation” for a service fee of just 20% of the refunded amount.
Aunt Zhang hesitated, but the caller sent her multiple screenshots of “successful cases” and even offered to meet in person to sign an agreement. During the meeting, the individual presented a “power of attorney agreement,” urged Aunt Zhang to sign it, and demanded her ID card, bank card, and original policy documents.
Scam Exposed:
The so-called “rights protection consultant” was actually an illegal insurance agency intermediary. Their typical modus operandi involves three steps:
Step 1: Create Anxiety. Use phrases like “policy pitfalls” or “low returns” to undermine consumers’ confidence in their existing coverage.
Step 2: Gain Trust. Fabricate success stories, impersonate legitimate institutions, and induce consumers to sign agency agreements while charging high deposits or handling fees.
Step 3: Collect and Disappear. Once the money is secured, they either incite consumers to file malicious complaints or vanish outright. Worse, some sell consumers’ personal information to other fraud rings.
Consequences:
Consumers not only lose the hefty “service fees” but also face three major risks: First, coverage interruption—if health issues arise after cancellation, they lose insurance payouts. Second, difficulty in re-insuring—aging or changes in health status may lead to rejection or significantly higher premiums. Third, information leakage—sensitive data like ID and bank card numbers flow into black-market chains, causing endless trouble.
Typical Case 2: Behind the Warmth and Care, Retirement Funds Are Harvested by “Affection”
After retiring, Uncle Li received his pension monthly and lived a stable life. During a community event, he met a “financial planner” named Xiao Liu. Xiao Liu was warm and attentive, checking in on him frequently and bringing gifts like rice, flour, and oil, gradually earning Uncle Li’s trust.
Once they became close, Xiao Liu recommended a “limited-edition retirement wealth management product,” claiming an “annual return of 8%, with principal and interest guaranteed.” However, the catch was that Uncle Li needed to first cancel his existing insurance policy and use the refund to invest. Xiao Liu repeatedly stressed that “spots are limited, and this opportunity won’t come again.” Under pressure, Uncle Li canceled his policy and transferred the money to Xiao Liu.
A month later, Uncle Li could no longer reach Xiao Liu. The company behind the so-called “retirement wealth management” had also vanished.
Scam Exposed:
“Cancel old policy, buy new one” is a common variant of financial fraud, with the core tactics being:
Step 1: Emotional Infiltration. Use care and companionship as a gateway to gain the trust of elderly consumers, masking the true intent.
Step 2: Lure with Benefits. Fabricate high-return, risk-free wealth management products, creating urgency with “limited time” and “limited availability.”
Step 3: Cut Off Escape Routes. Induce consumers to first cancel their legitimate insurance coverage, then funnel the funds into illegal channels. Once trouble strikes, consumers lose both their original protection and their money.
Consequences:
Elderly consumers often suffer a double blow: their original policies are terminated, leaving them with zero late-life protection, and the “investment” funds are lost entirely, severely depleting their retirement savings. Even more heartbreakingly, many seniors, too ashamed to speak up or unskilled in seeking recourse, endure long-term psychological stress after being scammed, affecting their physical and mental health.
Clean Financial Network, Secure Consumer Peace of Mind—Cigna & CMB Life Insurance in Action
As a responsible risk protection provider, Cigna & CMB Life Insurance always prioritizes consumer rights protection. We have established a special task force, leveraging big data technology to precisely identify and combat the “agency-based policy cancellation” black-market chain, actively cooperating with public security authorities to crack down on multiple related cases, effectively deterring illegal activities, and using technology to safeguard a clean financial network.
Cigna & CMB Life Insurance Shaanxi Branch Reminds You: Stick to the “Three Don’ts” to Stay Away from Financial Scams
From the two typical scams above, it’s clear that while fraudsters’ methods constantly evolve, their core logic always revolves around “creating anxiety, gaining trust, and urging action.” To this end, Cigna & CMB Life Insurance Shaanxi Branch reminds consumers, especially the elderly, to remember the following “Three Don’ts” mantra:
1. Don’t Hand Over. Do not give core documents like ID cards, bank cards, or original policy documents to any non-legitimate institution or individual. Legitimate insurance companies will not request your full set of personal information via phone or WeChat.
2. Don’t Believe. Do not trust promises that violate basic financial principles, such as “full refund on cancellation,” “guaranteed high returns with principal protection,” or “internal quotas.” All investments carry risk; there is no such thing as a “sure-win, no-loss” product.
3. Don’t Rush. Do not make hasty decisions based on “limited-time offers” or “last-chance quotas.” When faced with major matters involving policy cancellation or large transfers, always consult with your children or family first, or call the official customer service hotline to verify.
For inquiries related to policy cancellation, please use legitimate channels:
Call the official customer service number on your policy, or visit an insurance company branch in person. You will receive professional, lawful services. Your policy rights and interests have never needed any “intermediary” to protect.
As the May 15 National Investor Protection Day approaches, Cigna & CMB Life Insurance Shaanxi Branch warmly reminds you: Before purchasing, read the terms clearly; while holding a policy, stay alert to tricks; when in trouble, rely on official channels. Let us jointly build a safety line against financial fraud, maintain a clean financial network, secure consumer peace of mind, and protect every hard-earned safeguard and asset.
*All names mentioned in the article are pseudonyms.