“No one is listening to me!”
State Farm policyholders in Missouri who feel ‘gaslighted have increasingly contacted me’ for assistance after filing an insurance claim. This mistreatment distresses them and undermines their trust in the insurance system. I receive complaints from policyholders from all insurance companies operating in Missouri, but those from State Farm have risen sharply.
Bordering Missouri in nearby Oklahoma, the state’s Attorney General is investigating an alleged scheme to defraud policyholders.
“In 2020, State Farm arbitrarily set a goal of reducing payments on wind and hail claims by 50%, Whitten Burrage petitions said. Wildly successful, the wind-hail initiative earned State Farm hundreds of millions in Oklahoma and billions beyond, the firm’s attorneys said in court. From 2020 to 2023, dozens of policyholders filed suit when claims were denied. Whitten Burrage represented 125 cases that settled for sometimes shocking amounts, well beyond the value of the homes at issue. Even as it controlled 30% of the homeowners market in Oklahoma — making it a potential oligopoly — State Farm paid secret settlements on every one of the 125 cases that kept the nature of the alleged scheme secret. Just one of the cases settled for $3 million.” Read the full article here and ask yourself why an insurance company would not do in Missouri what it has (up to now) successfully achieved in a neighboring state.
Missourians complain that State Farm has ignored their telephone calls and emails and left their claims open, underpaid, or unpaid for months. When true, these actions violate the rules and regulations set by the Missouri Department of Insurance.
State Farm didn’t always treat its Missouri customers with such disrespect. Perhaps this is a temporary problem that is being resolved, but unpaid and underpaid policyholders need cooperation and help today.
Claims adjusters at all insurance companies must return to their duty of finding coverage and paying covered claims. Until they do, policyholders must assert their rights and know when and how to stand up and be heard by their insurance company. This will give them the confidence to navigate this situation.
What To Do
First, if you are a Missouri resident allowing your contractor to speak to your insurance carrier on your behalf, you need to stop doing that immediately.
It is unlawful for contractors to represent their customers with their insurance claims in Missouri. Additionally important is that no obligation exists on the part of your insurance company to communicate with them, either truthfully or at all. Your contractor is not a party to the insurance agreement, is not licensed to represent you, and your insurance carrier has no duty to communicate with them.
When your claim is being ignored, you will need to take control of your insurance claim and communicate directly with your insurance provider.
This is how:
- Do not call your insurance adjuster or claims department on the telephone. If you do, you are likely being recorded, and every misspoken word or contradiction will be saved and later used against you. Irate telephone calls from you will be played back at the appropriate time to demonstrate how the insurance adjuster was the victim of your abuse and how unreasonable and uncooperative you were. Even when verbal promises are made by your insurance provider, they are rarely kept and proof of them will not be found. In summary, phone calls to insurance companies are as counterproductive as they are frustrating.
- Do not seek assistance from a State Farm insurance salesman. They are licensed agents of State Farm and have a fiduciary duty to protect the financial interests of State Farm, not yours. Your agent’s job is to collect your premiums and pass on information to the claims department, perhaps. Your agent has no control over the outcome of your claim and faces disciplinary action if their efforts exceed what their employer considers to be in their interest.
- Communicate by email. Emails are date and time-stamped, showing when they were sent and precisely what was said. All emails to State Farm should include your claim number in the “Subject” line and be sent to statefarmfireclaims@statefarm.com. Even if your claim is NOT for fire damage, that is the address to which to send your email.
- State Farm will have ten (10) working days under the Missouri Department of Insurance rules to respond to your written communication. Expect them to take all of that time to respond. If no response to your email has been received by the eleventh working day, consider filing a complaint online with the Missouri Department of Insurance and ask that they compel State Farm to comply with their rule to respond to your written communication within ten working days. The MO DOI will not take your side with your insurance claim but will enforce a violation of their rule to respond to your written communication. Under the watchful eye of the Mo DOI, State Farm will be careful to comply with that rule going forward.
These actions should get your claim with State Farm (or any other insurance provider) back in motion. If your claim remains underpaid or denied and you want professional assistance with the outcome, contact an attorney or licensed public adjuster.
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