Would it surprise you to learn that the Enron subsidy Portland General bought life insurance policies on its employees and that 75% of the payouts were used as long-term compensation for managers, directors, and top officials? I didn’t think so.
By the way, Houston Congressman Gene Green is sponsoring legislation to require companies to notify employees within 30 days if they take out a “dead peasant” policy on them. Seems fair to me. The article says that Green’s ultimate goal is to eliminate this form of policy, on the grounds that in most states one must have an “insurable interest” to take one out. This is also fine by me.