Cori and Kerri Rigby have won their appeal and have been granted the ability to expand their claims of fraud regarding the adjustment of NFIP claims from Hurricane Katrina.1 The Fifth Circuit Court of Appeals found:
I have to admit, I missed this story when it first came out a few weeks ago. Although State Farm did not admit wrongdoing, read the article and draw your own conclusions (the italicized portions are key). As reported by The Dallas Morning News on February 27, 2015:
I have published on four occasions concerning good orders coming out of the Barten v. State Farm case.1 Well, it seems more courts are issuing favorable discovery orders, including a recent ruling from a federal district court in Arkansas.2
Cori and Kerri Rigsby keep beating State Farm in their Katrina Qui Tam litigation. This case is one of the final Hurricane Katrina cases still making news.
I have previously blogged about the decisions coming out of the United States District Court of Arizona in the Barten v. State Farm case. Recall, my Barten blogs have largely concerned State Farm’s corporate profit augmentation programs, whether the programs are called ACE or something else. Well, good orders just keep coming out of the Barten case. As discussed in greater detail below, State Farm continues to try to come up with every possible reason under the sun for not producing ACE or ACE-related documentation to Barten; but, thankfully, the District Court of Arizona continues to take a stance against State Farm’s maneuvering.
Tod Hindin is a Los Angeles attorney that I was fortunate enough to meet in the 1990’s. He was one of the most successful claims practice attorneys in the country at the time. His landmark case against State Farm secretly settled during trial.
I have twice blogged about court orders coming out of the United States District of Arizona Court’s Barten v. State Farm case. Well, time to talk about another great Barten decision hot off the press. By order dated January 31, 2014,1 United States District Judge Cindy Jorgenson upheld the spirit of Federal Rule of Civil Procedure 26(c).2
State Farm was a topic of my speech yesterday at the First Party Claims Conference when an audience member, and then half the room, said State Farm was refusing to accept emails about claims. I am certain many otherwise mature State Farm claims employees must be embarrassed by this unique bad faith claims practice.
In Florida, when a policyholder reports a sinkhole loss, carriers are required to conduct a subsidence investigation. The purpose of this law is to protect Floridians’ lives and property. In this situation, policyholders are concerned damages to their properties are getting worse, and it is common for them to fear the worst, a catastrophic event.
An insurance customer who has a loss is often treated as a threat by the insurance company. Claims managers and managers of claims managers are often to blame for creating a claims culture in which their customers are treated as common criminals because the claims department wants to minimize benefits paid rather than fully indemnify its customers in accordance with policy terms. This unethical claims culture is alive and well in some insurance companies as exemplified in my post from last week, State Farm Guilty of Defamation.