Top Class Actions’s website and social media posts use affiliate links. If you make a purchase using such links, we may receive a commission, but it will not result in any additional charges to you. Please review our Affiliate Link Disclosure for more information.
This settlement is closed!
Please see what other class action settlements you might qualify to claim cash from in our Open Settlements directory!
A class action settlement in the Wells Fargo force-placed insurance class action lawsuit has been reached and Class Members may be eligible for benefits.
The practice of force-placed insurance allows lenders like Wells Fargo to issue an additional insurance policy on a homeowners property to protect the property still under a mortgage contract. When a lender determines that a homeowner’s current insurance policy has lapsed or does not adequately protect the home from natural disasters— hurricanes, floods, winds, etc.—and other hazards and liabilities, the mortgage lender can legally issue an insurance policy on behalf of the homeowner, who is then responsible for paying the policy’s premium. While force-placed insurance practices are not illegal, to charge a homeowner more than what it should cost to insure a property for personal gain is strictly prohibited.
Many homeowners participating in the Wells Fargo force-placed insurance class action lawsuit with mortgages provided by Wells Fargo alleged that the bank “artificially inflate borrowers’ premiums with costs well beyond the cost of coverage.” There are additional allegations that Wells Fargo worked in conjunction with insurance companies like Assurant Inc. to increase the cost of the policies paid by homeowners, which then provided kickbacks for Wells Fargo and its affiliates.
In June 2012, lead plaintiff Ira Marc Fladell and participating co-plaintiffs filed a nationwide Wells Fargo force-placed insurance class action lawsuit and brought forth allegations of breach of contract, breach of implied covenant of good faith and fair dealing, unjust enrichment, breach of fiduciary duty, and a number of other violations against lending and mortgage practices. A preliminary settlement was reached by both parties on Feb. 3, 2014.
Wells Fargo denies liability in the force-placed insurance allegations, but settled the class action lawsuit to avoid the uncertainties of continued court proceeds and legal expenses.
Who’s Eligible
You are a Class Member of the Wells Fargo class action settlement if you are a borrower in the United States and were overcharged by Wells Fargo for a hazard, flood, flood-gap or wind LPI Policy during the Class Period. This applies to Class Members who did and did not pay the LPI Policy net premium.
The Class Period varies based on the state in which your property is located.
The commencement date for the Class Period for each participating state is as follows:
(i) California: Oct. 7, 2007.
(ii) Florida: Sept. 2, 2006.
(iii) Illinois: July 5, 2002.
(iv) Indiana: June 15, 2002.
(v) Louisiana: Feb. 19, 2003.
(vi) New Jersey: April 2, 2007.
(vii) New York: July 5, 2006.
(viii) Ohio: Aug. 8, 1998.
(ix) Pennsylvania: April 7, 2005.
(x) Texas: Oct, 7, 2007.
(xi) All other states: Jan. 1, 2008.
The end for all states Class Periods is March 17, 2014.
Potential Award
Varies.
- Class Members who had a LIP Policy charge occur on or before March 24, 2012, will receive a cash or credit award of 11% of the net premium of the policy.
- Class Members who had a LIP Policy charge occur after March 24, 2012, will receive 7% of the Net premium.
Proof of Purchase
To receive compensation from the Wells Fargo force-placed insurance class action settlement, Class Members must submit a completed Claim Form by mail postmarked no later than 60 days after the Final Settlement Hearing, and include all the necessary verification information. Class Members may alternatively upload a complete Claim Form to the settlement website with all the necessary verification no later than 60 days after the Final Settlement Hearing on Dec. 17, 2014.
Claim Form Deadline
12/14/14 (ESTIMATED). Claims must be submitted no later than 60 days after the Final Settlement Date. This will occur only after the class action settlement is approved and all appeals, if any, are resolved.
Case Name
Fladell, et al. v. Wells Fargo Bank NA, et al., Case No. 0:13-cv-60721, in the U.S. District Court for the Southern District of Florida.
Final Hearing
09/18/2014
Settlement Website
www.WellsFargoForcePlacedInsuranceSettlement.com
Claims Administrator
Fladell Settlement
c/o GCG
PO Box 10062
Dublin, Ohio 43017-6662
1-866-847-5874
Class Counsel
Adam M. Moskowitz
Harley S. Tropin
KOZYAK, TROPIN, & THROCKMORTON, P.A.
Aaron S. Podhurst
Peter Prieto
PODHURST ORSECK, P.A.
Lance A. Harke
Howard M. Bushman, Esq.
HARKE CLASBY & BUSHMAN LLP
Defense Counsel
Michael J. Steiner
SEVERSON & WERSON
UPDATE: The Wells Fargo force-placed insurance class action settlement received final approval on Oct. 29, 2014.
ATTORNEY ADVERTISING
Top Class Actions is a Proud Member of the American Bar Association
LEGAL INFORMATION IS NOT LEGAL ADVICE
Top Class Actions Legal Statement
©2008 – 2024 Top Class Actions® LLC
Various Trademarks held by their respective owners
This website is not intended for viewing or usage by European Union citizens.
70 thoughts onWells Fargo Force-Placed Insurance Class Action Settlement
Did we win law suite ?
I recently applied for a preapproval from WF. for a mortgage in August . I already have a mortgage with them. We told them how much we wanted to spend and how much money we were putting down. Being said they did a credit check and sent us a letter based on our info we gave them. We were all excited based on our approval, found the house in our market price and went from our home which is upstate NY to Florida. Needless to say we spent money on our airline tickets, hotel fare and dinners. We went to the home that we found on a brokers site and made an offer. We were only down there 4 days but we felt we handled our time wisely and came home. Figuring that WF gave us our go ticket. The offer we made on the house, the sellers agreed on. I now started spending more money on inspections, cleaning septic. So now having put 2000 bucks down and having all the other things done that had to be done before our closing date we started getting closer to our closing date.
My broker said now we need the paperwork to go to our bank and who was handling the loan. (Loan processor) That’s when we saw that something was not quite right. They just kept telling us the underwriters have everything and they were waiting on them. Long story short the underwriters denied us the mortgage . Now in the time frame I spent money on the home to be and my deposit, plus lawyer .
Sellers found out and denied us our deposit and I had a total nightmare.
QUESTION…Is there any class action suites that others have had like this or can I file lawsuit on them for my loss?
WF seems to be taking advantage of to many people.
so how long do we have to wait for our money or check since finale approval is over.
What happens next? Final approval means we get a check? I have 3 case numbers and would like to know?
How do you know if you have been subject to this? I have WF loan for my home and I am just now being made aware of this. I am a new home owner and there are a lot of things that happen that I am just not sure of and this caught my attention especially since I have had WF loan for my home since 2010.
UPDATE: The Wells Fargo force-placed insurance class action settlement received final approval on Oct. 29, 2014.
My mother passed away on Dec 4 2016. She received a letter From Fladell Settlement on Dec 15 2016 and was required to complete two questions on the letter and return postmark by Dec 30 2016. I Am the Executor of my mom’s estate. Trying to complete this form and ask questions of this company. Which it continuously rings busy busy busy busy busy…. All day. All morning. Early morning mid day all evening and throughout the night. … Yes I called at all times since finding this letter three months ago. And yet no answer. Do any of you think that this Class Action lawsuit company is somewhat directly linked to WF? Of my have one of WF moles working for them? This is not fair. This by far is the worse out of two other class actions suits I’ve been through whom is not available to answer a darn question. What phone numbers do you guys have to pass on to me so I can get in touch with someone?
I’ve been my Home sense August of 1999, and I would like to know if I qualify for the Class Action Settlement that is going on now. I would like to know before the deadline to summit my claim form. Please get back to me A S A P. Thank you very much. Mrs. Donna Turner in Milkshake.
That is Milwaukee, Wisconsin. A mistake was made on the Location of correction of City, in Milwaukee. From D. TURNER
My house was going into forclosure when I when I was put on the wells fargo insurance. If I did not make any more payments would I still qualify?
I took over my deceased father’s estate. before 2012, I have no info. how do I find proof, if any. thank you
What about force placed automobile insurance policies? I have been put through a similar situation by Wells Fargo Dealer Services. I was already paying for insurance on my own and later found out that Wells Fargo had also been billing me for their insurance causing the payment to increase, which made me get behind on payments and my family, friends and myself have received harassing phone calls.
Feel free to contact me – Jesse at 949-813-6667.
Thank you
I would like to see one for auto as well. We were charged $1000 for 4 months worth of auto insurance on a car worth less than $9,000.
Hi Jesse, my name is Roberto Molano. I am going through a similar situation with wfds. Who did you contact to resolve the issue? Feel free to call me at (626) 384-6187. Thank you.