Our Mold Stories page has many personal stories that talk about the problems with insurance companies and the bad behavior involved in the handling of mold and water damage claims.
If you are involved in litigation against an insurance company, be sure to check out our Litigation Tips.
The law says that insurance companies are required to act in "good faith," but this law is commonly ignored by some insurance companies. This page will help you learn more about the "good faith" versus "bad faith" insurance companies.
BREAKING NEWS!! December 6, 2016: Justices Uphold Katrina Fraud Verdict Against State Farm
A unanimous Supreme Court on Tuesday upheld a jury verdict that State Farm Fire and Casualty Co. committed fraud against the federal government after 2005’s Hurricane Katrina.
Their case gave rise to other claims that Illinois-based State Farm defrauded the National Flood Insurance Program. Last year, Mississippi filed its own civil fraud lawsuit against State Farm, saying the state paid as much as $522 million to State Farm policyholders after the company manipulated the reports of adjusters and engineers to limit its responsibility.
BREAKING NEWS!! November 26, 2016: State Farm Ordered To Refund Rate Inflations Back to California Policyholders
A court has ordered insurance company State Farm to repay California policyholders millions of dollars in a case that stems from a petition filed by the Consumer Federation of California (CFC) questioning the company’s decision to raise rates in July 2015.
As a result of the decision, 1.7 million policyholders will be refunded about $104 million.
September 19, 2016: State Farm Policyholders Get Class-Action Status in $1 Billion RICO Lawsuit
A federal racketeering lawsuit involving State Farm and allegations of funneling money into the election of a state judge has been granted class-action status, potentially benefiting more than 4 million policyholders.
The 2012 case, if successful, could result in a more than a $7.6 billion payout from State Farm for the class
One of the best examples of bad faith practices is the case of State Farm Insurance Company versus Joe Radcliff.
Here are the highlights:September 16, 2014: State Farm filed a second appeal with the Indiana Supreme Court. The court ruled against State Farm again!! Here's an excerpt from the court ruling:
"Simply put, the record does not reveal fraud or any unfair impediment to State Farm’s ability to fully and fairly defend against Radcliff’s claim of defamation. After all, State Farm had at its beck and call the complete panoply of pretrial discovery devices, including deposition notices and demands for document production. It was offered access to depose Richards, if it had chosen to take advantage of that opportunity. State Farm availed itself of none of these measures. Had it done so, common sense suggests that it easily could have discovered this ‘new’ evidence prior to the entry of the verdict. Based on the record before us, State Farm’s quest in uncovering this evidence was hampered by its own reluctance to undertake a detailed investigation. Because we will not grant State Farm relief from its own omissions, we affirm the trial court and conclude that it properly denied State Farm’s T.R. 60(B) Motion."Indiana Supreme Court ruling against State Farm
(September 16, 2014)October 11, 2013: The Indiana Supreme Court rules against State Farm. Congratulations to Joe Radcliff!! State Farm tried every dirty trick in the book (as usual), but Joe won!! Read more about Joe's story at the following links.Indiana Court of Appeals rules against State Farm
Here's information from the original trial:State Farm Loses!! $14.5 Million Jury Verdict Against State Farm
(July 2011)Judge: State Farm owes man $14.5 Million (video)State Farm filed fraudulent felony charges against the contractor. He was cleared of all charges, and the court said "there was an indication it was an adjustor working for State Farm who actually caused the damage."Illegal activities by bad faith insurance companies:Allstate and State Farm Hit With Racketeering Charges
(2008)State Farm Found Guilty of Fraudulent Claims Conduct in Rigsby Qui Tam Case
(2013)Expose' on State Farm hired gun attorney David Jones of the Jones Kurth law firm
RICO (racketeering) lawsuit against several parties including David Jones' law firm (Jones, Kurth & Andrews in San Antonio, Texas) Contact
us for a copy.Federal Jury Finds State Farm Guilty of Fraud Against the Federal Government
(2013)State Farm Ordered to Pay Fees and Damages in Katrina Whistleblower Case
(2014)Jury Finds Farmers Insurance Guilty of Fraud
(2011)State Farm Faces Criminal Investigation Over Hurricane Claims
(2012)Congressman Gene Taylor's Report to Congress about Insurance Company Fraud after Hurricane Katrina
Insurance Execs (at Hartford Insurance Co.) Admit Taking Bribes from Houston LawyerInsurers Colluded--to deny hurricane claims
(2007)Prostitution, Drugs, Payola, and More in the Insurance Industry
(2007)Channel 7 & KGO Investigation Into How State Farm Does Business (Parts 1 & 2) Windows Media Video. Tuesday, November 07, 2006. Investigation into the way State Farm does business: State Farm cheats policyholders by forging signatures to deny coverage and orders employees to lie under oath in bad faith litigation. (17 min.) Contact
us for a copy of the video.
Channel 7 & KGO Investigation Into How State Farm Does Business (Part 3) Windows Media Video. Monday, November 06, 2006. Investigation into the way State Farm does business: Employees instructed to destroy documents that could be used against them and the use of "mad dog" litigation tactics in bad faith lawsuits. (5 min.) Contact
us for a copy of the video.
Insurance Company Surveillance Tactics:Insurance Company Ordered to Pay Damages for Illicit Surveillance and Flaunting the Court's Rulings
Canada Reviews Insurance Company Surveillance TacticsVideo Surveillance Trips Up Insurer--Pennsylvania Court Ruling
(2007)Insurance Company Influence in the Legislative and Judicial System:Justice for Sale--in the Wall Street Journal
(2008)Buy Your Own Judge
(2010)Change Way Judicial Races are Financed
(2009)Donations vs Impartiality on Docket
(2009)In Justice Shift, Corporate Deals Replace Trials
(2008)Insurers Contributed $35.7 Million to Members of Congress since 2005State Supreme Court Justice at Center of State Farm Lawsuit
(2011)State Farm Customers Want Illinois Supreme Court to Restore Verdict in Fraud Suit