BAD NEWS FOR STATE FARM - A Mississippi federal court has awarded $2.7 million in damages to a Mississippi couple whose home was destroyed by Hurricane Katrina. State Farm had taken the position that the damage was caused by water and not wind. The jury award includes $2.5 million in punitive damages. While State Farm is likely to appeal the verdict, the court decision could have a major impact on other Katrina-related lawsuits. The biggest longer-term losers, however, could be coastal homeowners who may find it increasingly difficult to purchase homeowners insurance, as insurers pull ...
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