My research cannot uncover any evidence of any property insurance company issuing a public apology for bad faith practices or wrongful claims handling. I started this inquiry after writing this thought in “What Is the General Perception of the Property Insurance Industry?”:

Rarely is a public apology given for a wrongful claims practice. Indeed, I cannot think of one.

Maybe I need to offer another public apology. It may not be “rare.” A public apology for any bad faith conduct or wrongful claims conduct by a property insurance company may be “non-existent.”

I conducted my research on Westlaw and a news search service with no results. Perplexity AI found nothing. I then ran a search through Chat GPT 4.0, which stated:

In the realm of insurance, public apologies or acknowledgments of wrongful claims practices by insurance companies are not common, but they do occur. These instances usually follow significant legal battles, regulatory investigations, or public scrutiny that bring to light unfair practices or mistakes in handling claims. Here are a few scenarios in which insurance companies might issue public apologies or acknowledgments:


State Farm: In the aftermath of Hurricane Katrina, State Farm faced lawsuits and criticism over its handling of claims. While not a direct public apology, State Farm and other insurers reached settlements with state regulators and policyholders, which involved compensating certain claims they had initially denied.

Wells Fargo: Though not an insurance company but a bank, Wells Fargo’s situation serves as a notable example of a financial institution acknowledging wrongdoing publicly. In 2016, Wells Fargo issued apologies for opening unauthorized accounts in customers’ names, a practice that involved deceptive sales practices.

Why It’s Rare: Public apologies from insurance companies are rare due to legal and financial implications. Admitting wrongdoing can open the door to further legal actions, affect stock prices, and harm the company’s reputation. Therefore, insurers often choose to resolve issues through settlements without admitting liability.

Impact of Public Acknowledgment: When an insurance company does publicly acknowledge wrongful claims practices, it can lead to increased scrutiny from regulators, changes in industry practices, and a greater emphasis on customer service and transparency. For policyholders and advocacy groups, such acknowledgments can be seen as a victory in holding insurers accountable.

In summary, while instances of insurance companies publicly apologizing or acknowledging wrongful claims practices are not everyday occurrences, they do happen, particularly in the wake of legal or regulatory actions. These moments are pivotal, often leading to significant changes within the offending company and sometimes across the industry, emphasizing the importance of ethical business practices and consumer rights.

I followed up with “state one actual instance of a public apology by an insurance company and list the actual source for verification.” The ChatGPT 4.0 answer was:

It appears that direct access to specific instances of public apologies by insurance companies is currently restricted due to website limitations. While I aimed to retrieve a concrete example, such as the AXA Insurance apology over a staged incident involving a Tesla vehicle or Canada Life’s apology for poor service in public health insurance, direct access to the sources was blocked.

These instances are indicative of scenarios where insurance companies have publicly acknowledged mistakes or wrongful practices, typically following public scrutiny or as part of a settlement agreement. For verification and further details, I recommend consulting reputable news outlets, legal settlements, or official press releases from the companies involved. Unfortunately, without direct access to these sources, I cannot provide a specific verified instance at this moment.

Chat GPT 4.0 can be inaccurate, and its sources always need to be checked. The AXA response was not an apology for wrongful claims practice or bad faith but a withdrawal for conducting a potentially misleading “misunderstanding” of a test result:

We regret that the 2022 edition of the crash tests may have conveyed a bad impression of electromobility or created misunderstandings about it. We are convinced that the switch to electric will play a central role in the future of automobile traffic. That is why we believe it is important to take a close look at electromobility and the safety it offers. 1

Canada Life, a health insurance company, did make a public apology to its members following an investigation by Canada’s federal government regarding denials of health benefits. The article, Canada Life Apologizes To Federal Public Servants For Health Insurance Claim Problems, noted that:

Canada Life appeared before a committee in the House of Commons. The insurance provider apologized for the problems and said it has increased staffing at its call and claims processing centres to reduce wait times.

To be fair and balanced, I have personally been involved with many cases, individual and even class action, where private apologies have been made. Many have been sincere and even touching, with a change of claims practice being made. In virtually all of those cases, the apology has come from those that I mentioned in the first line of “What Is the General Perception of the Property Insurance Industry?”: “There are many very well intentioned, competent, and honorable insurance claims professionals working for property insurance carriers.”

No person and certainly no organization is without fault. Each of us can do better individually and collectively.

Thought For The Day

A meaningful apology is one that communicates three R’s: regret, responsibility, and remedy.
—Beverly Engel

1 Steven Loveday. AXA Insurance Company Issues Apology For Staged Tesla Battery Fire. InsideEVs. (Sept. 2, 2022). Available online at: