76°
Baton Rouge, Louisiana
7 Day Forecast
Follow our weather team on social media

State Farm appeals Katrina fraud ruling

3 years 4 months 2 weeks ago May 09, 2013 May 9, 2013 Thursday, May 09 2013 May 09, 2013 1:51 PM in News
Source: Associated Press

GULFPORT, Miss.- State Farm Fire and Casualty Co. has asked a judge to void a jury's finding that the company defrauded the government involving a policyholder claim after Hurricane Katrina.

Motions filed in U.S. District Court in Gulfport, Miss., also seek a new trial.

The verdict came in April in a whistleblower lawsuit against the Illinois- based insurer.

The lawsuit was filed by Cori and Kerri Rigsby of Ocean Springs, Miss., who once worked for Alabama-based E.A. Renfroe, a company State Farm contracted to provide damage assessments after the August 2005 hurricane.

The jury found State Farm avoided covering a policyholder's wind losses by blaming damage on storm surge, which is covered by federal flood insurance.

State Farm was ordered to repay $250,000 to the government. Other damages are to be determined.

More News

Desktop News

Click to open Continuous News in a sidebar that updates in real-time.
Radar
7 Days