’Whistleblower’ Lawsuit Names 315 Auto Insurers

In what may be considered one of the largest whistleblower lawsuits in US history, a complaint has been filed which names 315 auto insurance companies as defendants.

The lawsuit seeks to recover billions of dollars for the federal and certain state governments from the insurers for claims they allege the firms should have paid but didn’t because they deliberately filed false reports that failed to acknowledge their obligations as required by federal law.

The qui tam complaint has been under seal until now, after being filed two years ago in US District Court for the Eastern District of Michigan, Southern Division (US District Court) on behalf of the US government and multiple states (subject jurisdictions).

The action was filed by MSP Recovery Law Firm (MSP Law), and Akeel & Valentine, PLC on behalf of MSP WB, LLC (MSP WB), a subsidiary of MSP Recovery. MSP Law is a separate legal entity from MSP Recovery.