Two-time NASCAR Cup Series champion Kyle Busch and his wife, Samantha, are speaking out after filing a lawsuit against Pacific Life, claiming they lost more than $8.5 million due to a misleading life insurance scheme.
In statements released Tuesday, the couple announced legal action against the company, accusing it of “designing and promoting a series of complex indexed universal life (IUL) policies as ‘tax-free retirement plans’ that were misrepresented as safe, self-funding investment vehicles.”
According to the filing, Pacific Life and associated defendants allegedly used “misleading illustrations, undisclosed costs, and false promises of guaranteed multipliers and controllable charges” to convince the Busches to invest more than $10.4 million in premiums. The result, their attorneys at RP Legal said, was net out-of-pocket losses exceeding $8.58 million.
Busch described the situation as a devastating financial setback.
“I never thought something like this could happen to us,” he said in a statement through RP Legal. “These policies were sold to us as part of a retirement plan—something safe and secure that would grow tax-free and protect our family long after racing. We trusted the people who sold them, and the name Pacific Life. But the reality is far different. What was pitched as retirement income turned out to be a financial trap.”
Samantha Busch echoed her husband’s concerns, saying their experience highlights a broader problem for consumers.
“It makes me worry about families, retirees, and anyone trying to plan responsibly for their future who may be hearing those same promises,” she said. “If this could happen to us, it could happen to anyone. If sharing our experience helps even one person protect their financial future, then speaking out is worth it.”
Indexed universal life (IUL) insurance policies allow holders to accumulate cash value based on a stock market index while maintaining a death benefit. However, these products often come with caps on returns, fees, and complex performance formulas that make them riskier than they appear. The Busches claim they were not properly informed about these risks.
Attorney Robert G. Rikard, representing the couple, emphasized that the issue goes beyond high-profile clients.
“This is not just an issue for celebrities or professional athletes,” Rikard said. “Across the country, teachers, small business owners, and retirees are being sold complex life-insurance contracts as if they were simple, risk-free retirement plans. The problem lies in how they’re marketed and presented as guaranteed paths to retirement security. Kyle and Samantha’s experience is a clear example of how easily that can happen. Our mission is to hold the industry accountable and help families recover what they have lost.”
In response to the lawsuit, Pacific Life told Fox News Digital that it would not discuss the case’s details.
“To maintain the privacy and trust of our clients, Pacific Life does not comment on the specifics of individual matters,” the company said. “For nearly 160 years, we have committed ourselves to fairness, integrity, and acting in the best interests of our clients – and we continue to take this responsibility very seriously. Pacific Life offers several different life insurance products, each with unique characteristics that are important to understand before making a decision. We encourage individuals to visit our website or contact their financial advisor to learn more about our products.”
