Note to insurance companies: Pissing off a senator is damn dumb

You have to hand it to State Farm Insurance. They apparently refused to pay a claim on a policy owned by long time Mississippi senator Trent Lott. You would think they would realize that its just not smart pissing off a senator, especially about a topic as sensitive as Hurricane Katrina. But they apparently have succeeded at doing just that, by refusing to pay on the policy. You can read the whole story at the link below, but basically the deal is that State Farm is saying that a wind driven storm surge is flooding, and that they will only pay that if the policyholder had flood insurance. That does makes some sense I suppose, if they made that clear to people that bought the policy to ensure they did not think they had coverage while they actually did not.

You wonder, wouldn't it have been a good idea to just pay his claim and not risk the negative publicity and possibility of a government investigation.

Read about it here:
http://news.yahoo.com/s/ap/katrina_lott_lawsuit;_ylt=ArdgNx5jkc6CAN5.j2MlBYCs0NUE;_ylu=X3oDMTA2Z2szazkxBHNlYwN0bQ--