Travis County launches criminal investigation into State Farm Lloyds
TRAVIS COUNTY -- Travis County has launched a criminal investigation into State Farm Lloyd insurance after emails surfaced from high-ranking executives with the agency.
The Public Integrity Unit launched the probe after reviewing recently released emails. The agency is suspected of mishandling tens of thousands of hurricane claims. Customers claim they were defrauded by State Farm Lloyds, the Texas subsidiary of the larger insurance company.
Steve Mostyn has filed a class action lawsuit. He spoke to KVUE by phone.
"State Farm defrauded these folks on their roofs on the hurricane claims. They originally told them the shingles weren't damaged," said Mostyn.
Disclaimer: I know that this is the second story of the day that I've posted about State Farm (http://www.democraticunderground.com/10784003), but it is not my intention to discredit or malign State Farm. It's their fault that they are in the headlines--not TexasTowelie. However, the irony of the investigation should not be lost in connection with their recent rate request of up to 20% on homeowners policies.
be discredited. They overcharged me for many years. I switched to another company (Farmers) and my homeowners insurance bill is now half what they (State Farm) were charging me. Then there was the "mold coverage" extortion scam they pulled at one point, though that may have been an industry wide problem.