State Farm Mutual Automobile Insurance Company is the parent of the State Farm family of companies. It is listed as the 35th largest company in the Fortune 500. Big companies sometimes have big problems. State Farm had a one billion dollar judgement problem that now may be a seven billion dollar problem.

Continue Reading Did State Farm Buy Its Way Out of a Billion Dollar Judgment?

As we enter a new year, FEMA has issued WYO Bulletin W-16091, “Guidance on the Use of Expert Services.”

The purpose of the memorandum is “to ensure transparent and consistent claims handling for all policyholders” and to provide “guidance on the use of services provided by subject-matter experts as part of specific claims investigations.”


Continue Reading FEMA Issues Bulletin on Use of Experts by WYO Carriers

In most first-party property insurance disputes, experts are frequently required to provide opinions and testimony on the cost to repair a property. An insurance company will often seek to exclude an insured’s expert on the basis that the opinions are not reliable because the expert did not personally inspect the property.


Continue Reading Court Excludes Causation Expert Who Did Not Personally Inspect Property

The Tom Brady legal victory is being criticized, lauded, and talked about by millions in our fanatical football country. Unlike the vast majority of fans—and being a nerdy insurance lawyer—I read the report. While doing so, I was struck about the similarity between the court’s reasoning into the unfairness of Brady’s proceedings and altered insurance engineering and estimate reports.


Continue Reading Why The Tom Brady Decision is Similar to Insurance Altered Engineering and Damage Reports

Nicole Vinson‘s post State Farm Sued for Fraud for Katrina: More Altered Engineering Reports Alleged, a recent filing by my co-liaison counsel Steve Mostyn, and one by Javier Delgado, prompted me to write about how groups of people with power can dictate an unethical claims culture biased and driven to pre-determined outcomes. I strongly encourage those involved with this area of claims to read each of the linked materials.


Continue Reading Unethical Claims Cultures Promote Outcome Oriented Expert Reports

Gerald Neilson was National Flood’s "go to" lawyer for as long as I can remember. While I personally have gotten along with him, his never bending stance towards settlement and reliance on the most conservative aspects of the National Flood Insurance Act have made him the enemy of many of my colleagues. His firm’s stance regarding discovery was maddening. A filing by an ethics law professor shows that Gerald and his law firm may be in deep and serious hot water regarding altered engineering and adjuster reports.


Continue Reading Former Flood Attorney in Hot Water

Because there have been recent allegations that some insurers in the National Flood Insurance Program (NFIP) may have denied or rejected policyholders’ Superstorm Sandy flood damage claims based on falsified engineering reports, earlier this week FEMA agreed to re-open and review every flood insurance claim filed by Superstorm Sandy victims. It is important to note that this amounts to approximately 144,000 claims, and not just the estimated 2,200 FEMA Superstorm Sandy flood claims currently in litigation.


Continue Reading FEMA to Re-Open and Review 144,000 Sandy Flood Claims