Federal investigators armed with search warrants have descended on Allstate Insurance Co. offices in three states, including its Northbrook headquarters, in a criminal probe related to the 1994 California earthquake, the company confirmed Monday. (via Chicago Tribune)
Insurers, policyholders must unite against doctored storm claims.
Unlike many other businesses, the insurance industry is bound by law to act in good faith with its customers. Because of their protective role in the lives of ordinary citizens, insurers have long operated as semi-public trusts. But since the mid-1990s, a new profit-hungry model, combined with weak regulation, has upended that ancient social contract. (Via HuffPost)
A Long Island engineering company and one of its former executives pleaded guilty on Tuesday to charges that they had deliberately falsified engineering reports of homes battered by Hurricane Sandy in 2012. (Via New York Times)
The U.S. Senate Committee on Banking subcommittee on Housing, Transportation, and Community Development held a hearing July 30, called “The Flood Insurance Claims Process in Communities After Sandy: Lessons Learned and Potential Improvements.” (Via PIA National)