When Insurance Doesn't Pay: The rest of the story! Pat Faria

Written by on 3/2/2012 5:05 AM . It has 0 Comments.

I have been in the insurance business for 32ish years now.  Long enough to not get the number of years exactly right.

A few months ago I met a new client and most of his family, his name is Pat Faria.   As we were just going about our business together Pat asked me to take a look at a claim he had a few years ago that didn't sit right with him.

Turns out Pat is a bit famous:

New York Times Article:  Click Here

Pulitzer Prize Story Written about him:  http://www.pulitzer.org/archives/6840

Interestingly when Pat was Acquited of all charges, the New York Times posted just a little by line.  Very hard to find but here is a link to that quick note: http://www.nytimes.com/2004/09/22/national/22brfs.html


Here is the thing that is missing in this story and what I don’t understand and what should scare you to death!

While we all can agree this is a very tragic situation for the families, and our love and prayers should be with them.   We can also agree they should be compensated, which is what workers compensation is for.

What I don’t get is how the Dairy Insurance companies ended up not paying for the claims?  I read one of the letters from an insurance company rejecting Pat’s claim.  It stated that they were not paying because of Pats willful miss conduct.   When Pat was found not guilty of any wrong doing at all he called his insurance broker and told him.  Pat was told that it was too late and that there was nothing to be done about his claims being denied.

Just to summarize this for everyone:

Pat owned a dairy, and bought all the insurance policies everyone else buys.  He paid his premiums.  He did nothing wrong, he surely did nothing to  intentional or willfully hurt anyone.  We don't have to guess or wonder if Pat may have done something  wrong as he went to court and it was pronouced by a court of law that Pat didn't do anything wrong.  Yet the insurance companies still didn't pay his claim.

Why should you be afraid?  Well seems to me that since Pat didnt do anything wrong, and the insurance companies didn't pay his claim.  What would make you think this couldn't happen to you as well?

What I’d like to see happen?  I think the same reporters that did such a wonderful job reporting on this tragedy, should now take a look at why the insurance policies didn't pay when a dairyman was found innocent of any wrong doing.

I know we live in CA, but I think the word Innocent means the same here as in other states.  I believe that insurance should pay for claims as they are suppose to.  I don't understand how when Pat told his insurance broker that he had been acquitted why or how it was "to late to do anything".

I have written this blog with Pat’s permission.  You see it doesn't sit right with me either!  So I am hoping a reporter or two want to take a look at all this to help my friend Pat and his family understand why their insurance didn't pay for his claims.  I sure can’t figure it out?

Grant Davis
GDI Insurance Agency

PS.  You can call me for more details if you think you can help.


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