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Insurance Companies Trying to Gag Superstorm Sandy Victims?

As reported in several news articles (this one is free), in the aftermath of superstorm Sandy, engineering firms were hired by insurance companies to inspect the homes of people making claims for flood damage. 

There have been allegations that two of the engineering firms, U.S. Forensic out of Louisiana, and GEB HiRise out of Uniondale, forged property damage reports in order to deny claims. The NY State Attorney General is investigating those allegations and wants to talk to the homeowners. 

At the same time, there are about 1,800 lawsuits in federal court involving the insurance coverage claims. A three-judge panel is trying to expedite resolution of the cases. 

Last week it was revealed that one of the insurance companies, The Standard Fire Insurance Company, which is a subsidiary of Travelers Insurance, drafted language in a settlement document saying that any homeowner who accepts a payout of their claims cannot cooperate with the criminal investigation into the fraud! 

The judges found that language outrageous, "mind-blowing", and probably illegal. 
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