Changing The Focus
A year ago the news from Mississippi largely concerned insurance claims practices, trials, and significant settlements. Except for the recent article of our firm's settlement of twenty two cases against State Farm, the media focus has been on alleged corruption of some policyholder attorneys, especially Dickie Scruggs. Insurance industry leaders must be smiling because this news coverage has completely derailed efforts for meaningful claims practice reform and protective legislation for policyholders.
The sad truth is that all policyholders living along Coastal areas face exactly the same wind versus water fight with their insurers that happened in Katrina. Indeed, in Florida, the revised Valued Policy legislation and recent Florida Supreme Court decisions make it inevitable that more Floridian policyholders will have to litigate these issues. Maybe I should not complain, but there is a societal insurance problem along the Gulf and Eastern Coasts which is simply being ignored because the focus is upon corruption charges against Dickie Scruggs and others.
Eventually the sad stories of policyholders not being paid, and the problems of insurers being allowed to change wording in their policies to make "all risk" coverage more like "your risk" coverage, will be played out again. It is winter and hurricanes can seem a long time away. The sensational stories of corruption and the falling economy are in the minds of everyone. The insurance industry has once again escaped meaningful reform. Meanwhile, we are still just a Katrina away from another insurance disaster because those that make policy have shifted focus to other matters without first correcting problems from the past.
Hello Mr. Merlin. While what you're saying is true about corrupt attorney(s) stealing the limelight at the moment, there's certainly PLENTY OF CORRUPTION to go around in all involved industries - i.e., the insurance industry, the legal community, ins. co. experts, policyholder experts, etc. BOTTOM LINE: The ins. companies are still (usually) NOT going to pay a valid claim whether a crooked attorney files the lawsuit or a "goody two shoes" lawyer files the lawsuit. ANOTHER BOTTOM LINE: THE POLICYHOLDER - THE ONE PAYING THEIR PREMIUMS BELIEVING THEIR INS. POLICY KEEPS THEM COVERED AND SAFE - ARE THE ONES ENDURING THE CORRUPTION FROM ALL SIDES. The experts, estimators, engineers, etc., are being paid by the insured/plaintiff's Attorney and the experts, estimators, engineers, defense attorneys working by the hour, are being paid by the ins. co./defendant....it's not until the very end (at a mediation conference, jury trial, or settlement conference) that the policyholder FINALLY gets paid .....and that is AFTER the above-noted expenses.