Allegedly, certain banks and mortgage companies have been force-placing expensive, and often unnecessary, flood insurance policies on property owners, many of whom already meet the insurance coverage requirements of the National Flood Insurance program. Furthermore, lawsuits for bank flood insurance complaints have claimed that these companies may be receiving kickbacks or commissions when they purchase these additional or excessive policies, the cost of which is added to the homeowner's monthly mortgage payments, deducted from the home equity account or otherwise expensed to the borrower.
Consumers may be eligible for a force placed flood insurance lawsuit if their bank or mortgage company forced or coerced them into:
Force-placed insurance burdens homeowners with unnecessary debt while letting banks profit from questionable financial practices and arrangements.… More
In an extremely important decision, Judge Michael Simon of the United States District Court for the District of Oregon ruled that a nationwide class action lawsuit alleging that Bank of America illegally force-placed flood insurance could continue.… More
As reported by the Sun-Sentinel, Florida was the site of 35% of the country's force-placed insurance in 2011, totaling $1.2 billion.… More
Before commenting, please review our comment policy.