In an outrageous move, apparently permitted under Connecticut state insurance laws, State Farm Mutual Insurance is refusing to pay scores of Connecticut homeowners for storm damage by claiming that Storm Irene was a hurricane and it could therefore apply a much higher deductible.
“We believe our decision is really grounded in fairness to all policyholders. To ignore deductibles this one time for this one event, wouldn’t be fair to customers everywhere who have dealt with disasters in the past and have paid deductibles,” said David Beigie, a State Farm spokesman told The Courant in a story written by Matthew Sturdevant.
“Sixty-four insurance companies decided to either waive the hurricane deductible on their property casualty policy or to not apply the higher level of deductible because the storm did not qualify as a hurricane. … Regrettably, State Farm was not one of those companies,” Blumenthal wrote in a letter to State Farm CEO Edward B. Rust Jr, The Courant wrote.
“Home insurers are allowed under current state insurance guidelines to write policies that would put in place higher deductibles for hurricanes. The higher deductibles remain in effect for up to 24 hours even if the storm is downgraded to a tropical storm, as was the case on Aug. 28, when Irene hit Connecticut,” the Courant said, adding that the state is considering changing the law.
- Ct Insurance Dept. Proposing Rules Limiting Hurricane Deductibles To Actual Hurricanes
- Ct Homeowners Won’t Face Hurricane Deductibles From Sandy’s Damage
- More Insurance Companies Waive Hurricane Higher Deductibles For Connecticut Storm Damage
- Most Insurers To Give Ct Homeowners A Break On Hurricane Deductibles
- Insurance Companies Claims Phone Numbers For Hurricane Irene Storm Damage Available
- Hurricane Irene Tips From Ct Consumer Protection And Insurance Departments