U.S. May Still Join Insurance Lawsuit

Tuesday, July 10th, 2007 Legislation & Regulation Litigation

The Justice Department says it is "highly interested" in an August 2006 lawsuit claiming that Allstate Corp., State Farm Fire & Casualty Co. and other insurers defrauded the government by "grossly overstating" Hurricane Katrina flood damages to policyholders’ properties and then submitting false claims worth potentially billions of dollars to the federal flood insurance program. It’s the latest turn of events in the suit, filed by Branch Consultants LLC of Metairie, La., in federal court in Louisiana.

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http://insurancenewsnet.com/article.asp?a=top_pc&q=0&id=81911

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