Insurance Company Workers Pressed To Cheat Hurricane Victims.

In a stunning article in The Washington Post, titled “Insurance adjusters say they were pressured to cut payouts after hurricanes,” reporters said that Allstate and State Farm adjusters may have faced pressure to cheat insured hurricane victims. These victims suffered damage from Hurricanes Helene and Milton, which decimated parts of the west coast of Florida.

Many insurance companies faced losses from the storms and left Florida and other states because of the financial catastrophe. This has not only been true in Florida. Weather-related insurance losses recently hit insurers who do business in the fire-ravaged parts of Los Angeles and areas of the Midwest that were hit by hail, thunderstorms, and tornadoes.

Homeowners Without Insurance

The authors wrote that one source commented, “Insurance companies exist so that when disaster strikes, victims have somewhere to turn. But instead, big insurance companies are defrauding devastated families and profiting from their pain.”

While fraud may not be a sigifiant problem in the future for fear of punishment, the fact that insurers leave states creates a disaster for some property owners. They are left without protection. And their property can drop in value. Almost all banks require insurance to issue mortgages. The value of some homes in the damaged areas is already dropping.

Residents of Florida can get home insurance from non-profit Citizens Property Insurance Corp. CNN reported that the organization may not be solvent due to huge losses.