Jury penalizes State Farm over tornado claims � Archive � Meridian Star

JURY PENALIZES STATE FARM OVER TORNADO CLAIMS

 "Jury penalizes State Farm over tornado claims"

By Tom Blakey
NORMAN, Okla. — State Farm acted “intentionally and with malice” in handling the insurance claims of dozens of families whose homes were damaged in the May 3, 1999, tornado outbreak in south central Oklahoma, a Grady County jury decided.

After five weeks of testimony, jurors awarded $12.9 million in damages to the lead plaintiffs in the class action lawsuit, comprising $3 million in actual damages and $9.9 million in punitive damages.

Donald L. Watkins Jr. and Bridget Watkins alleged in July 2001 the insurance company “engaged in a wrongful scheme to delay, deny or underpay claims” by engaging the services of Haag Engineering Co. to inspect brick and other structural damage to policyholders’ homes, knowing Haag was predetermined to disagree with the policyholder as to the nature and extent of the covered losses.

The punitive damages included $6 million for the Watkinses’ individual claims and $3.9 million for their “share of class claims.”

Jeff Marr, the attorney representing the 71 families in the class action lawsuit, said he believes the jury’s intent is to award “each and every class member $3.9 million, or more than $280 million.”"