State Farm Says Employees Targets of Katrina Criminal Probe
Southeast News • October 5, 2006
At least two employees of State Farm Fire and Casualty Co. are targets of a criminal investigation of the insurer's handling of policyholders' claims after Hurricane Katrina, the company disclosed ...
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Subject: State Farm and Allstate Conduct in Texas
Posted On: October 6, 2006, 1:57 pm CDT
Posted By: Roger Poe
Comment:
State Farm and Allstate/Pilot Claim Service "adjusters" told untold thousands of hurricane Rita victims in South East Texas that blatant wind/debris damage* to asphalt shingle roofing systems was 'not really' damage to shingles, and/or 'damage our engineers recognize'.
(Audio documentation of an upper level State Farm "adjuster"/manager explaining their Rita "position" is available).
* 6-7 hours of wind borne debris being thrown at 90-100MPH+ against the outer (granule) component of a shingle, which abrasive action can grind down the outer layer all the way down to the inner fiberglass mat, is NOT wind damage State Farm and Allstate "recognize".
Too, wind broke/lifted tar sealant bonds on shingles. Debris then shimmed up the shingles, and debris also stuck to the tar sealant bonds, making it impossible for the shingles to reseal, and leaving the home and inhabitants vulnerable to harm.
Again, State Farm and Allstate claimed that that those types of roofing system breakage 'is not damaged that they recognized'.
(As a side note, many of their loss claim "offers" (forgot) to include a basic sub-trade contractor overhead and profit valued line item of 29%, and many other claim estimates (forgot) to include a basic 49% primary/general contractor overhead and profit loss value).
In other words, according to the Texas Department of Insurance,** both Allstate and State Farm are collecting in real dollars Subcontractor and Primary-General Contractor overhead and profit loss values from the general public, but are keeping that money since most people don't realize it is part of the value of their loss they have pre-paid for every month in Replacement Cost policies/premiums.
..And their "adjusters" comply with such practices.
It also makes one wonder how the accountants juggle those windfalls?
** See Texas Department of Insurance Bulletin B0045-98 which describes contractor ovehead and profit values as being factored into replacement costs of a structure, and is pre-paid for by the general public, and is to be repaid claimants as part of the ACTUAL value of a [structural] "loss".
Not doing so can create ILLEGAL windfall/profit.
rogerpoegc@yahoo.com
Subject: State Farm and Allstate Conduct in Texas
(Audio documentation of an upper level State Farm "adjuster"/manager explaining their Rita "position" is available).
* 6-7 hours of wind borne debris being thrown at 90-100MPH+ against the outer (granule) component of a shingle, which abrasive action can grind down the outer layer all the way down to the inner fiberglass mat, is NOT wind damage State Farm and Allstate "recognize".
Too, wind broke/lifted tar sealant bonds on shingles. Debris then shimmed up the shingles, and debris also stuck to the tar sealant bonds, making it impossible for the shingles to reseal, and leaving the home and inhabitants vulnerable to harm.
Again, State Farm and Allstate claimed that that those types of roofing system breakage 'is not damaged that they recognized'.
(As a side note, many of their loss claim "offers" (forgot) to include a basic sub-trade contractor overhead and profit valued line item of 29%, and many other claim estimates (forgot) to include a basic 49% primary/general contractor overhead and profit loss value).
In other words, according to the Texas Department of Insurance,** both Allstate and State Farm are collecting in real dollars Subcontractor and Primary-General Contractor overhead and profit loss values from the general public, but are keeping that money since most people don't realize it is part of the value of their loss they have pre-paid for every month in Replacement Cost policies/premiums.
..And their "adjusters" comply with such practices.
It also makes one wonder how the accountants juggle those windfalls?
** See Texas Department of Insurance Bulletin B0045-98 which describes contractor ovehead and profit values as being factored into replacement costs of a structure, and is pre-paid for by the general public, and is to be repaid claimants as part of the ACTUAL value of a [structural] "loss".
Not doing so can create ILLEGAL windfall/profit.
rogerpoegc@yahoo.com