Dishonest Insurance Companies Refuse To Honor Claims

Complied and commented by David J. Stewart | January 2020

1st Timothy 6:10-11, “For the love of money is the root of all evil... But thou, O man of God, flee these things; and follow after righteousness, godliness, faith, love, patience, meekness.”

       One of the most hideous evils in the United States today are greedy insurance companies. The matter goes much deeper than a mere business transaction, because people TRUST insurance companies to do right by them when a loss occurs. When all is well and there thankfully is not loss, the insurance companies make lots of money; but when their is a claim, the insurance companies suffers a loss. Obviously, the core idea behind the business model is for the company to win more than they lose, to secure make profits. Sadly, many almost all insurance companies structure their business like a Las Vegas gambling casino, rigging the game so that THE HOUSE ALWAYS WINS! I will go into detail later, but first, here is a helpful article I found and want to share with you, titled:

INSURANCE COMPANIES JUST DON’T WANT TO PAY CLAIMS, AND THERE IS NO HONOR AMONG THIEVES (I.E. BETWEEN INSURERS): THEY DON’T EVEN PAY CLAIMS OWED BY ONE INSURER TO ANOTHER.

Herb Denenberg - Column for July 01, 2003

Insurance companies just don’t want to pay meritorious claims, even to each other.

Here’s the latest proof of that conclusion from a Commonwealth Court judge who ordered the liquidation of another Pennsylvania Insurance Company. Listen to this sentence from the opinion of the judge ordering the liquidation: “The failure of the reinsurers to honor their contractual obligations is not limited to Legion Group; it is endemic to the industry.”

Reinsurance is insurance for insurance companies. The judge, who ought to know (she is a former general counsel of the insurance industry), is saying insurers don’t pay their claims properly or promptly even when dealing with each other (through reinsurance). I would have thought there would at least be honor even among thieves, and that insurance companies would at least pay claims when due to each other. But according to the Judge of the Pennsylvania Commonwealth Court in the Legion insurance liquidation that is not the case.

This sentence in the Judge Hannah Mary Leavitt’s legal opinion is important, as it shows how deep and pervasive is the failure of insurance companies to pay their claims. This failure should be a high priority of insurance regulators. But unfortunately, history demonstrates the insurance regulators don’t regulate the insurance companies; it is vice versa – that is the insurance companies regulate the commissioner.

The doctors have discovered how HMOs and other insurance companies don’t like to pay claims to doctors, and make the whole process complex, cumbersome, and deadly slow. This, of course, enables them to deny more claims and keep their money invested longer due to the slow process of claims payment. Every doctor can tell you horror stories about claims handling. The HMO-insurance company handling of medical claims is just one segment of a much larger picture.

What steps can you take to make sure you will be paid in accordance with policy terms if you have a claim?

First, you have to select companies with care. Get top-rated companies by the various financial rating services such as A.M. Best and Standard and Poor’s. When an insurance company gets into a financial bind, one of the first things it does is to slow down the claims payment process to hold onto cash longer. That is called claims resistance, and has long been recognized as a factor influencing claims payment among financially distressed companies.

Second, you should also check the reputation for paying claims of companies you insure with. Some states, such as California, rate the claims performance of insurance companies, as does Consumer Reports. You may sometimes get a sense of the reputation of a company by talking to friends and relatives or by those who deal with insurance companies frequently, such as personal injury lawyers.

Third, many claims problems arise because of poor insurance planning and buying. Make sure you get the right coverage, and review it annually with your agent and company.

Fourth, keep a good record of all documents and contacts relating to a claim. Try to get an insurance agent who will be your advocate when claims arise.

Fifth, insist that the company explain in writing the reason for denial of any claim or part thereof, with citation of controlling policy provisions.

Sixth, don’t hesitate to ask for reconsideration of a claim denied. You can also consider a complaint to your state’s insurance commissioner or other consumer protection agency.

Finally, there is the small claims court, and even the possibility of hiring a lawyer if the size of the denied claim justifies that.

(Herb Denenberg is a former Pennsylvania Insurance Commissioner and consumer advocate.)

SOURCE: Fight Bad Faith Insurance Companies

END OF ARTICLE

The Love of Money is the 'ROOT OF ALL EVIL'
(and that definitely includes shady insurance companies who refuse to honor claims)

by David J. Stewart | January 2020

1st Timothy 6:10-11, “For the love of money is the root of all evil: which while some coveted after, they have erred from the faith, and pierced themselves through with many sorrows. But thou, O man of God, flee these things; and follow after righteousness, godliness, faith, love, patience, meekness.”

       One of the common evils that insurance companies are guilty of is not telling people that they are not fully protected. My own parents were defrauded by Allstate Insurance Company. I read their home-owner's insurance policy one day, horrified to learn that if the house had burned down, Allstate wouldn't have replaced it! You see, if you don't pay extra (and it's not that much more money) for something called “A REPLACEMENT CLAUSE,” your house won't be replaced if their is a fire or other tragedy. Instead, the crooked insurance company will write you a ridiculously low check for the DEPRECIATED VALUE of the home. Since my parent's home they purchased in 1970 had been built in 1903 in Chicago, if the house had burned to the ground decades later, my parents would have been fortunate to receive a check for merely $50,000 from the insurance company (on a home which today sells for $500,000). Do you see how dishonest insurance companies really are? My advice to you dear reader is: If you own a home and think you are insured, read your policy and MAKE SURE that you have a REPLACEMENT CLAUSE in your legal contract. I would also call the company to verify, and write down the person's name, date time you spoke with them, et cetera, And always remember—If it's not IN WRITING it means absolutely nothing!

I hate insurance companies, because they have turned cheating consumers into a science. What you don't know CAN hurt you. One of the worst and most common forms of lying is withholding information from buyers, clients and consumers. There's just something about money that once you have it, it has you! Money does funny things to people, and by “funny” I don't mean humorous, I mean criminal. The Holy Bible admonishes the born-again believer to FLEE the love of money.
 

My Family Was Defrauded By Prudential Life Insurance

Life insurance companies are notorious about not seeking the benefactor when the insured person dies. Prudential Life Insurance are thieves! When my Christian father died in 2010 in Illinois, I did not know that he had died, because we had not been in contact for nine years since 2001 (by his choosing). I had moved to Guam since 2004. I did not know that my father had me listed as the benefactor of his life insurance. The crooks at Prudential waited until I attempted to move from Guam to Tennessee in 2013. The trip turned into a nightmare, and my plans to relocate back to the United States fell through, so I returned to Guam with a brokenheart. I had been gone for 2 months.

When I got back to Guam 2 months later, I found a letter at the U.S. Postal Service from the insurance company, which said I only had 10 DAY WINDOW to respond to the letter, or else I'd forfeit any money that I'm entitled to. Prudential deliberately waited until I moved, three years after my Dad died. That is as wicked as Hell! By the time I got back to Guam from my ordeal, the letter had been sitting in my mailbox for a few weeks. When somebody like my father pays money (trusting an insurance company), so that his son can receive some money when he dies, but the insurance company makes it difficult and next to impossible (as in my case) to receive what was promised, God must intercede and punish the evildoers at Prudential. 1st Thessalonians 4:6, “That no man go beyond and defraud his brother in any matter: because that the Lord is the avenger of all such, as we also have forewarned you and testified.” Repeatedly in the Holy Scriptures we are warned about not hurting our neighbour, because God will Judge all mankind (Romans 14:10-12; Ecclesiastes 12:13-14; Matthew 12:36; Romans 12:19-21). No one ever gets away with anything, because there is a God in Heaven Who holds men accountable for their thoughts, words and actions (Proverbs 24:12).

“Insanity because we're in sin!”
—Brother Lester Roloff (1914-1982), from the sermon “Steps In The Degeneration Of Our Nation.”

I Was Defrauded by State Farm Insurance

Years ago I paid for a liability insurance policy with State Farm Insurance in Chicago. I also paid extra for an uninsured or underinsured motorist clause. One day while driving, a drunken Mexican man crashed into my vehicle. It was a 1973 Oldsmobile. I loved the car! It was candy-apple red with a white vinyl roof, classy. The drunken bum smashed my car, hit and run and took off driving, crashing into several parked cars along the way. I followed him, pulling in front of his car to stop him, but he hit the gas and smashed into the other side of my car as well, doing a few thousand dollars in body damage to my car. He really smashed my car up. I followed him home, where he lived in the Chicago suburb of Cicero. He stumbled from his car into the apartment building.

I physically walked into a Chicago police station to make a report. The lazy police refused to make a report, because they claimed the man lives in Cicero. So I physically went into a Cicero police station, to make a report. To may dismay, the lazy Cicero police refused to make a report either, claiming that the accident happened in Chicago. I'm telling you—Chicago and Cicero, Illinois, have some of the most lazy, corrupt, worthless, uncaring, bad attitude, wife-beating and incompetence cops! It is shameful what the police have become in those areas. They should all be fired.

State Farm are thieves! The drunken man who smashed both sides of my nice sports car, was uninsured with no driver's license, an illegal alien. I had a 350 Rocket engine under the hood! Nice! That wicked and reckless irresponsible man ruined my car, and State Farm only gave me a check for $400, claiming that is all the car's Blue Book Value was worth. State Farm said you have to but special insurance for cars exceeding their Blue Book Value. It is dishonest, crooked and unethical not to replace what a customer once had. My vehicle sustained major damage and State Farm's $400 didn't even give me enough money to fix one dent, let along having the whole front end replaced, aligned and damage to the suspension system. State Farm are no better than the drunken illegal alien behind the wheel of a car, who was a reckless criminal, they just commit crimes in a different way, causing injury from behind an office desk instead.

I could go on and on, mentioning dishonest, greedy, shady, unethical and wicked car rental companies, hotels, taxis, restaurants and businesses nowadays! Greed has overtaken America!!! I'm not talking about lone crooks and cons, I'm talking about set company policy at headquarters. They are evildoers and they know it! I thank God that I am an honest man. I don't make a living preying upon consumers. Insurance companies want to profit from your money, but they don't want to honor a claim when you sustain substantial loss.

One of the biggest scams today is supplementary dental insurance. The company deducts regular payments from your paycheck if you sign-up, or you pay it directly to them, but the policy only covers $1,000 in dental coverage. What a racket! So by the time you ever use it, you will have paid the insurance company several thousand dollars for $1,000 of coverage. Honestly folks, please turn down most insurance today. Read the details carefully. The extra money you pay Blue Cross and other insurance companies in many cases just isn't worth it. Basic coverage is good enough in my humble opinion. Health insurance costs have skyrocketed, because of the greedy medical and pharmaceutical industries. Our government is complicity to the highway robbery and has done nothing to protect the American people from predatory companies. That is why senior citizens have to take a bus ride to places like Canada and Mexico to purchase affordable prescription medications. We do not honor our parents in America. We do not honor the elderly. It is shameful and a horrible testimony upon our ungodly nation. The drug companies are evil beyond description!

I long for the day when the Lord Jesus Christ returns to put an end to all this wickedness today, nearly all of which is rooted in the LOVE OF MONEY.

END OF ARTICLE

John 8:32 and 36, “And ye shall know the truth, and the truth shall make
you free ... If the Son therefore shall make you free, ye shall be free indeed.”