Declarations

Fannie Mae, Freddie Mac Changes

“Limiting consumers to only the most expensive coverage just made buying a home that much more difficult and created real harm for the homeowners market. The vast majority of mortgages are backed by the (government-sponsored enterprises), and so keeping costs needlessly high probably prevented some consumers from becoming homebuyers.”

— Neil Alldredge, president and CEO of the National Association of Mutual Insurance Companies, discussing homeowners insurance required by Fannie Mae and Freddie Mac. Requirements are reverting to actual cash value coverage, reversing a February 2024 change.

Part of the Job

“The claimant’s attempt to bring Abbott’s backpack to their new table was within the scope of her employment. Abbott’s backpack contained her work laptop and various other personal items, including personal notebooks related to work.”

— A deputy commissioner whose notes swayed the Virginia Workers’ Compensation Commission (VWCC) to affirm benefits for an Abbott Laboratories employee who suffered a cervical spine injury at the company’s national sales conference when she attempted to move her manager’s heavy backpack. The VWCC concluded the claimant’s attempt was an “exercise of common courtesy and good judgment.”

Fraud Fighters

“This trial shows how systemic insurance fraud can be, involving all types of bad actors, from attorneys and medical providers to criminals willing to cause accidents on Louisiana roads. These schemes are not only dangerous—they also drive up the cost of insurance for all drivers. I am committed to working with our law enforcement partners to stop criminals like these and make Louisiana a national leader in the fight against insurance fraud.”

— Louisiana Insurance Commissioner Tim Temple on a case involving two New Orleans personal injury attorneys who were found guilty of staging fraudulent accidents. The defendants will be sentenced in July.

Retrofitting Roofs

“We’re not really fortifying homes by putting on a new roof. An old roof is a maintenance item, not an insurance matter.”

— Florida state Rep. Brian Hodgers, R-Viera, arguing that Florida’s $833 million My Safe Florida Home mitigation program has some glaring issues that do little to reduce insurance costs. Hodgers, one of two insurance agents in the Legislature, filed a bill that would have revamped the program by allowing roof replacement matching grants only if an existing roof fails to meet state building code standards. Program inspectors also would have to verify, under penalty of perjury, that grant-recipient homes have been properly retrofitted.

Meta Suit

“The conduct alleged in the Social Media Litigation—even when viewed through the lens of negligence—describes deliberate acts rather than accidents under the policies. Because the court’s determination regarding Meta’s intent is based strictly on the face of the underlying complaints, it does not ‘overlap’ with the factual truth of the allegations to be litigated in California.”

— Delaware Superior Court Judge Sheldon K. Rennie ruling insurers, including Hartford, Chubb, and more than 20 others, do not have a duty to defend Meta Platforms in the thou sands of lawsuits that allege its social media platforms harm children. Meta, incorporated in Delaware, has 30 days to appeal.

Construction Fraud Allegations

“Homeowners trust contractors or businesses with their hard-earned money. Breaking that trust harms customers and undermines honest professionals.”

— Ohio Attorney General Dave Yost on lawsuits against contractors filed in three counties, which allegedly defrauded consumers of $564,000 combined. All four lawsuits allege violations of the Ohio Consumer Sales Practices Act and include allegations against three home-improvement contractors and a builder of outdoor structures, accusing them of shoddy work, incomplete work, work that was never initiated and a refusal to issue refunds.