Sandy lawsuit accuses insurance companies of shaving settlements

Superstorm Sandy victims have filed a new round of lawsuits, claiming insurance companies were shaving money off settlements awarded to those trying to rebuild their

The class action lawsuit alleges that the National Flood Insurance Program and three affiliated insurance companies robbed Sandy victims out of millions by purposely omitting tax figures from home estimates.

The class action lawsuit alleges that the National Flood Insurance Program and three affiliated insurance companies robbed Sandy victims out of millions by purposely omitting tax figures from home estimates. (3/13/15)

WOODBURY - Superstorm Sandy victims have filed a new round of lawsuits, claiming insurance companies were shaving money off settlements awarded to those trying to rebuild their homes.

The class action lawsuit alleges that the National Flood Insurance Program and three affiliated insurance companies robbed Sandy victims out of millions by purposely omitting tax figures from home estimates.

“The insurance companies were manipulating the software programs they were using to deny people's claims and not pay them,” said attorney John Houghtaling.

News 12 reached out to FEMA for comment on these latest allegations. A spokesperson said he could not comment directly on the case, but did say that FEMA is in the process of enacting a set of reforms that include providing more oversight over insurance companies.

 

More on this topic

Hurricane Sandy Insurance Claim Allegations

HiRise Engineering Response:

“HiRise Engineering continues to support the efforts of FEMA to settle the Sandy claims and respects the processes of the Attorney General's office. We have provided and will continue to provide these bodies with any assistance or information they need in this matter in order to facilitate their efforts. Regrettably, there have been issues raised concerning the conclusions in some reports. We are working very hard to address these issues, and we will continue to work to the fullest extent possible with all parties.”

- Joe Celentano, President & CEO, HiRise Engineering

U.S. Department of Homeland Security Sources: State executes Sandy insurance fraud raidSources tell News 12 that the search of HiRise Engineering on Charles Lindbergh Boulevard was related to Superstorm Sandy insurance claims.

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