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End days for False Claims Act case alleging massive insurer fraud?

posted 168 weeks ago on Insurance Coverage Blog

You might recall that one of the central talking points by certain people during the heyday of Katrina litigation was this: insurance companies committed massive fraud on policyholders and federal taxpayers by overstating flood damage that would be paid, up to $250,000, by federal flood policies, and understating wind damage that would be paid from the insurers' own pockets. To me this point was like one of those tiny cars in the circus where, paradoxically, a large number of clowns keep coming out of it. As we've since learned, this strategy of claiming this type of fraud was arrived on just after Katrina happened, long before claims had even been adjusted. Among the chief proponents of this view were, of course, Mississippi AG Jim Hood and his confidential informant, Dickie Scrug
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