Coerced into Buying an Excessive Flood Insurance Policy?
Last Updated on January 20, 2022
Attorneys working with ClassAction.org are no longer investigating this matter. The information here is for reference only. A list of open investigations and lawsuits can be viewed here.
Fremont Investment and Loan Mortgage Holders: If you were forced or coerced into buying an excessive flood insurance policy, you may have legal recourse. Our website is looking into claims that certain mortgage companies have been forcing borrowers to purchase or maintain flood coverage that is unnecessary, overly expensive, or otherwise excessive. While Fremont Investment and Loan has not been named among the financial institutions engaging in these practices, many homeowners who have borrowed from other banks and mortgage companies have complained that they were forced into paying the high premiums of an unnecessary, second or excessive flood insurance policy.
If Fremont Investment and Loan or any other bank forced you into purchasing or maintaining an overly expensive, excessive or second flood insurance policy, you may be able to seek compensation for the high premiums paid out for this coverage.
Lawsuits for Excessive, Force Placed Flood Coverage
Borrowers may be able to participate in a forced placed flood insurance lawsuit if they had to purchase or maintain:
- A second flood insurance policy even though they were already covered by a condominium association or otherwise
- A second flood insurance policy after an acceptable policy was refused
- A flood insurance policy which exceeded federal requirements
- More flood coverage than what was required under their mortgage agreements
In some cases, it has been alleged that banks who forced placed valueless flood insurance on borrowers received kickbacks for these purchases. The cost of this coverage was then expensed to the borrower, either by being added to their mortgage balance or deducted from their home equity account.
Forced Placed Flood Insurance Complaints
If your bank unnecessarily forced placed flood insurance policy on your property, you may be able to seek compensation for the high costs of this coverage.
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