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Insurance Companies Passing Katrina Costs onto American Taxpayers PDF Print E-mail
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Written by regional-news.com   
Saturday, 13 January 2007

The United States District Court for the Southern District of Mississippi found that State Farm wrongfully denied claims of a victim of Hurricane Katrina. In Broussard v. State Farm Fire & Casualty Co., the judge ruled that State Farm failed to pay a family for the loss of their home.

Congressman Bennie G. Thompson (D-MS), Chairman of the Committee on Homeland Security issued the following statement regarding the decision:

"This ruling is just the latest example of insurance companies engaging in a systematic effort to avoid paying Katrina victims for destruction caused by wind damage. Congress will not sit idly by while insurance companies -- who are making record profits -- continue to shift the costs of this national disaster to the American taxpayer.

Working with other Committees of jurisdiction, I will be investigating the assertions that insurance companies are wrongfully passing the costs of Katrina onto an already-burdened federal flood insurance program," Thompson added.

 
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