Settlement Agreement Between Texas and Farmers Does Not Send Strong Message to Insurers

AUSTIN, Texas - On Nov. 30, the State of Texas and Farmers Group reached a $100 million settlement agreement in the discriminatory practices case filed by the state against the insurer after an investigation into the conduct, performance and practices of several large writers of homeowners insurance in Texas. The State of Texas and the Texas Commissioner of Insurance v. Farmers Group, Inc., et al., No. GV 202501 (Texas Dist. Ct., 261st Jud. Dist., Travis Cty.)

Although officials involved in the agreement tout it as a positive outcome to the case, consumer advocates are more critical and suggest that the …