N.Y. Judges Hear Evidence of Alleged Fraud in Handling of Superstorm Sandy Flood Claims

NEW YORK — Plaintiffs and representatives for insurer Standard Fire Insurance Co. were ordered to appear recently in New York federal court for an evidentiary hearing related to allegations that a number of Superstorm Sandy flood claims may have been wrongly denied.

The hearing, scheduled for May 20 and 21 in U.S. District Court for the Eastern District of New York, was expected to address evidence of an allegedly fraudulent scheme to downplay and deny Sandy-related coverage requests by homeowners insured by Standard Fire.

In a memorandum filed with the court prior to the hearing, plaintiffs alleged that Standard …