Fraud is generally defined as an act done with the intent to deceive or misrepresent others in order to attain or secure some unlawful gain or deprive a victim of a legal right. Different courts, states, and bodies of law throughout our country have their own unique causes of action based in fraud, or where fraud is the primary allegation.
Continue Reading Insurance Fraud – It’s a Widespread Industry Problem
State Farm
Did State Farm Buy Its Way Out of a Billion Dollar Judgment?
By Chip Merlin on
Posted in Class Action
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.
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Continue Reading Did State Farm Buy Its Way Out of a Billion Dollar Judgment?
State Farm Claims Whistleblowers Win in United States Supreme Court and May Get Additional Evidence of Wrongdoing
By Chip Merlin on
The Rigsby sisters have now prevailed in the highest court of the land in their decade long fight against State Farm.1 The Rigsby sisters were catastrophe adjusters working for State Farm on Hurricane Katrina claims. I have noted this case for some time:
- The Insurance Adjuster’s Dilemma: Tell the Truth and Face the Consequences By Raising Claim Practice Misconduct
- State Farm Whistle-Blower Suit Regarding Altered Expert Reports Continues
- State Farm "Qui Tam" Hearing Raises Issues of Wrongful Adjustment
- Flood Adjustment Methods Discovered in Qui Tam Case
- Financial Pressures on Insurance Vendors and Experts
- State Farm Rigsby Qui Tam Matter is Ready for Trial
- State Farm Found Guilty of Fraudulent Claims Conduct in Rigsby Qui Tam Case
- Rigsby Sisters Beat State Farm Again and HAAG Qui Tam Settlement Disclosed
- Rigsby Sisters Win Qui Tam Appeal Regarding Fraudulent Handling of Katrina Flood Claims
State Farm Operation Guidelines Regarding Wind and Hail Damage to Composition Roofs
By Chip Merlin on
Posted in State Farm
Insurance companies routinely have instructions for their claims adjusters on how to adjust various types of losses. State Farm has some of the most detailed claims guidelines in the industry. I have often stated that for first-party claims, relevant claims guidelines should also be provided to the policyholders who suffer losses. Why not?
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Continue Reading State Farm Operation Guidelines Regarding Wind and Hail Damage to Composition Roofs
State Farm Employee and McKinsey Insurance Consultant Accused of Fraud
By Chip Merlin on
Posted in State Farm
Ed Rust must have muttered, "you’ve got to be kidding," after learning that a McKinsey & Company consultant and State Farm employee were accused of siphoning about $900,000 in consulting fees and expenses.
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Continue Reading State Farm Employee and McKinsey Insurance Consultant Accused of Fraud
Rigsby Sisters Win Qui Tam Appeal Regarding Fraudulent Handling of Katrina Flood Claims
By Chip Merlin on
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:
State Farm Overcharged Texas Policyholders
By Sean Shaw on
Posted in Insurance, State Farm
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:
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Continue Reading State Farm Overcharged Texas Policyholders
Another Good Discovery Order Concerning State Farm
By Merlin Law Group on
Posted in Court Opinion, State Farm
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
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Continue Reading Another Good Discovery Order Concerning State Farm
Rigsby Sisters Beat State Farm Again and HAAG Qui Tam Settlement Disclosed
By Chip Merlin on
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.
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Continue Reading Rigsby Sisters Beat State Farm Again and HAAG Qui Tam Settlement Disclosed
State Farm’s ACE Program
By Merlin Law Group on
Posted in State Farm
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.