Widow Seeking Benefits Can't Sue State Farm
PITTSBURGH (CN) - A federal judge declined to revive a widow's lawsuit that claims State Farm paid $100 to buy her late husband's $10,000 insurance policy just days before he died of suspicious circumstances.
Lorraine Johnson sued State Farm in federal court when she realized insurance agent Robert Confer had purchased her late husband Terry Johnson's life insurance policy right before his sudden death from peritonitis while in jail for violating the terms of her restraining order.
Both Confer and State Farm knew Terry was actively abusing illegal drugs, had just been released from a psychiatric ward and "had engaged in extremely erratic behaviors days prior to the transaction," according to the complaint.
State Farm allegedly told Lorraine that Confer had bought Terry's policy for $100, that the company stood by its agent's purchase and that "there is a difference between what is moral and what is legal."
http://www.courthousenews.com/2011/11/08/41291.htm