Court rules in favor of Allstate in defamation lawsuit but still demands $4 million compensation

Defamation lawsuit - gavel - dollar sign

Despite the fact that the insurer was in its rights to fire a broker last year, it must still pay punitive damages. A California appellate court ruled that Allstate Insurance Co was within its rights to terminate Michael A. Tilkey’s employment as a broker in 2019, in a defamation lawsuit. Tilkey pleaded guilty to disorderly conduct and was let go from his $200,000 per year job. That said, despite the fact that the court ruled in favor of the insurance company in this defamation lawsuit, the insurer was still required…

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Alleged Allstate whistleblower sued for $700K over insurance discrimination accusations

Insurance discrimination - Law - Court

Mehda Joshi claimed that the insurance company sought to deny coverage to visible minorities in Canada. A former Allstate employee in Canada sued the company for wrongful dismissal and publicly accused the company of insurance discrimination. The company has now launched a counterclaim against the woman, Mehdi Joshi, for over $700,000 in damages. The legal battle between Joshi and Allstate Insurance Canada began in a Toronto court last week. This court battle is in Canada’s national spotlight and is also being watched by many other countries around the world due…

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Insurance giants Allstate and State Farm file fraudulent billing suits against healthcare providers

Insurance Giants - Medical Room

The two carriers have each filed separate lawsuits against medical doctors and their clinics. Two U.S. insurance giants have each filed a lawsuit against medical doctors as well as the pain management clinics of those healthcare providers. The doctors and clinics have been accused of submitting bills to the insurers for unnecessary medical procedures conducted on victims of vehicle crashes. The lawsuits are against both the clinics and the doctors who own them and provide healthcare there. One of the two insurance giants, Allstate Insurance, filed a lawsuit in the…

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Allstate files insurance fraud lawsuit against chiropractors

auto insurance fraud accident

The suit alleges that three Providence practitioners were involved in a scheme to defraud the insurer. Allstate Insurance Company has filed a lawsuit accusing licensed chiropractors of insurance fraud. The suit specifically points to the owner of a clinic. The owner is accused of falsifying medical records in order to increase the size of the insurance claims. The owner also allegedly paid kickbacks to personal injury lawyers in order to receive client referrals. The insurance fraud lawsuit was filed with the U.S. District Court. Within it, Allstate alleges that Arianna…

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Maryland court sides with Allstate’s decision to not write new policies for coastal properties

Maryland’s highest court has sided with Allstate this week in a case regarding the insurer’s move to stop writing new homeowners policies in coastal regions. The case emerged in 2007 when the insurer chose to step away from the coastal market due to the potential for natural disasters. The insurer’s move was spurred by a catastrophe model that suggested that losses in these regions as a result to hurricanes or other storms could be gargantuan. The Maryland Court of Appeals chose to uphold the rulings of lower courts, agreeing that…

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