Auto-Owners Insurance Sued Over Retirement Plan’s In-House Fund

Auto-Owners Insurance Co. invested about one-third of its retirement plan assets in a low-yield, in-house stable value fund that deprived workers of the chance to accumulate meaningful retirement savings, a federal lawsuit alleges.

The proposed class action centers on a proprietary stable value fund that, until 2014, was the only investment option available in Auto-Owners’ retirement plan. The plan’s large investment in this fund, which produced low returns while paying fees to Auto-Owners, furthered the company’s financial interest while harming workers’ ability to save for retirement, according to a complaint filed Tuesday in the US District Court for the Western ...