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Sunday, October 10, 2010

hall of shame - insurance company bad faith law resources and information

hall of shame - insurance company bad faith law resources and information: "State Farm - in State Farm Cas. Co. v. Taylor, 54 Cal.App.4th 625 (1997) the California Court of Appeal upheld the criminal fraud exception to attorney-client communications between State Farm's claim handlers and State Farm's attorneys. The case involves allegations that State Farm forged signatures on applications for earthquake insurance. The court noted that 'the declaration of Samantha Boyd established that in 1990 State Farm adopted a policy of destroying potentially relevant documents to avoid producing them in bad faith actions.' Id. at 647. The court also reviewed the testimony of Amy Zuniga, a claims specialist, who was advised by a senior executive 'that State Farm witnesses should not admit that forgeries happen, unless and until they are compelled to do so by a court order.' Id., at 648.
A recently filed case alleges that State Farm engaged in a 'widespread practice of forging and faking insureds' signatures on State Farm insurance documents.' Cohen v. State Farm Mutual Automobile Ins. Co., Superior Court, Los Angeles County."

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