Jury Finds State Farm Defrauded Flood Insurance Program
According to a newsletter published by the Insurance Claims Journal... Jury Finds State Farm Defrauded Flood Insurance Program.
A federal jury found that State Farm Fire and Casualty Co. avoided covering a policyholder’s wind losses by blaming the damage on storm surge, which is covered by federal flood insurance. The federal jury hearing this case is located in Mississippi, and came about from a lawsuit filed over a claim relating to Hurricane Katrina. It is anticipated that State Farm will appeal.
Find out more: INSURANCE JOURNAL
Note: As with all court battles, many times the verdict is overturned.
UPDATE - JUST IN: 12-12-16 According to the Insurance Journal... SUPREME COURT UPHOLDS KATRINA FRAUD VERDICT AGAINST STATE FARM.