As I was walking to catch a train here in Chicago the other day, I saw numerous billboard advertisements throughout the station for Allstate insurance. Each advertisement posed an insurance question and told the reader to ask an Allstate insurance agent, thus suggesting the agent would know the answer.… Continue Reading
Whether labor can be depreciated in arriving at an actual cash value property loss settlement has been a hot topic of debate over these past five years. A federal district court in Ohio recently weighed in on the issue in ruling on motions to dismiss two putative class action lawsuits, one against State Farm Fire … Continue Reading
Under the powers vested by sections 397 and 401 of the Illinois Insurance Code, the Director of Insurance has promulgated certain regulations which provide for a Standard Fire Policy.1 Under the regulations, all fire insurance policies must “conform to such form of the Standard [Fire] Policy or, if another form is used, shall for the … Continue Reading
On November 22, 2016, Judge Berle M. Schiller from the District Court for the Eastern District of Pennsylvania issued his Opinion and Order in Payne v. Allstate Insurance Company, granting summary judgment to Allstate and awarding them $25,000 in damages, after finding that the Plaintiff made material misrepresentations while securing the homeowners policy.… Continue Reading
I suppose if business is really bad for some lawyers, they could just fantasize about representing people and seeking justice. If the pleadings filed by Allstate are true, one Texas lawyer went beyond fantasy and literally filed insurance claims and threatened lawsuits on behalf of policyholders he never represented. The story was reported by Texas … Continue Reading
Virtually every aspect of insurance involves the public trust. The insurance industry does not disagree. This was a point we made in an amicus brief filed in Jacobsen vs. Allstate Insurance Company, a case pending before the Montana Supreme Court.… Continue Reading
According to this article in The Inquisitr, Allstate Corporation, the largest publicly traded insurance company, had a net income of $766 million in the first quarter of 2012. Last year, Allstate’s first quarter income was a mere $524 million.… Continue Reading
Many bad faith cases against insurance companies allege improper or inappropriate behavior toward an insured. Sometimes, this conduct rises to the level of bad faith, and other times it does not. This week, I write about a case where a court agreed that the carrier breached the contract, but not in bad faith.… Continue Reading
As expected, the Texas Department of Insurance – the government regulator in charge of overseeing the insurance industry (also known as “protecting the public”) – has approved Allstate Texas Lloyd’s request to raise rates across Texas by 5.7%. The Texas Department of Insurance has the ability to deny any requested rate hike if it determines … Continue Reading
Merry Christmas, Happy Holidays, and Season’s Greetings! I hope all of you are enjoying some well-deserved time off. And since many of you are on holiday, I’d like to pass along some light insurance reading that may interest you.… Continue Reading
It’s no secret that insurance companies are in business to make money, but the lengths some insurance companies go to in order to increase profits is alarming. In fact, dozens of posts on this blog have alerted our readers to the improper actions some insurance companies may take to put profit above their policyholders’ interests.… Continue Reading
Fire insurance claims spike on Thanksgiving Day. I became interested in this fact after viewing the following commercial by Allstate: … Continue Reading
Policyholders with flood and all risk policies usually do not have as many problems collecting benefits following a hurricane where wind and flood damaged a structure. Those with only one policy are not so fortunate. When the combination of payments from both policies is less than the cost to repair or when delays in payments … Continue Reading
Does getting the local media involved help a client? One of the questions I hear most often from policyholders is, “why is the insurance company handling my claim in an inadequate fashion?” Often, the policyholders are confident that if they could just explain the situation and get someone’s attention at the insurer’s main office, their … Continue Reading
This Property Insurance Coverage Blog set record visits last month. Thank you! I noticed a significant drop as the Easter weekend started. The Florida legislature took a well deserved breather last week as well. So, it seems like it is a good time to get caught back up.… Continue Reading
Insurance advertisements have never been more entertaining. While perusing the net for information regarding Safeco and Liberty Mutual, I came across a number of insurance company television advertisements. We often use ad firms to find and pull the ads of some of our opponent insurers. It can be done cheaply through YouTube.… Continue Reading
Allstate Insurance Company lost a bench trial involving the claims practices employed in its Claims Core Process Redesign program first implemented in the 1990’s. The findings by the trial court are significant because the Court indicated that those claims practices violate standards which are routinely violative of unfair trade and claims practices in most of … Continue Reading
Suppose you knew that your insurance company had started a new claims practice program called “Quantum Leap” to increase corporate practices by making certain no claim was overpaid—would you buy that insurance? Would you feel peace of mine if you knew that secret program was in place and had such a claims philosophy?… Continue Reading
Consumer Reports published an article this month revealing the results of its survey of customer satisfaction with homeowner’s insurance and tips on coverage and exclusions to be aware of when purchasing insurance for your home.… Continue Reading
I was thinking about the question of property insurance trade associations and lobbying while reading today’s St. Petersburg Times article, At what Cost Care? The article was a question and answer discussion with Wendell Potter, who was a public relations executive for two major health insurers. Potter has given an inside view into the political and … Continue Reading
“How did you come up with that amount for my (or my client’s) claim?” I was thinking of that question while taking the deposition of an Allstate corporate representative in an Indiana claims practice case, and how an insurance adjuster should honestly answer it. It is the same question millions of other policyholders, public adjusters, and … Continue Reading
An attorney from another law firm asked me whether an insurer is obligated to investigate facts supporting coverage in a property insurance coverage dispute. It is common for colleagues to share information and help when they can. It seems that the more one shares, the more one receives –usually with compound interest.… Continue Reading
Why are major insurance companies selling insurance with "feel good" messages rather than explaining how many different types of accidents and catastrophes they will not cover? If they were honest, wouldn’t they explain to customers what is not covered before the purchase? Sandy Burnette wrote a comment to "Is the State Farm Policy Really Worth Anything?" As … Continue Reading
David Berardinelli made a presentation at NAPIA‘s Convention on Friday. His topic, “From ‘Good Hands’ to Boxing Gloves: How Allstate Changed Casualty Insurance in America,” was an excellent and updated version of a speech I have seen before. Many of his points are important to understanding why the claims culture has changed so much over … Continue Reading
