Gilman Law LLP Sues HSBC on Behalf of a Widow Whose Homeowners Insurance Was Forced Placed

  Gilman Law LLP Sues HSBC on Behalf of a Widow Whose Homeowners Insurance Was
  Forced Placed

Business Wire

BOSTON -- November 13, 2013

Gilman Law LLP has filed an action against HSBC Finance Corp. ("HSBC"),
Assurant, Inc., and other related defendants on behalf of a homeowner who had
hazard insurance force placed on her property. The case is styled Blackburn v.
HSBC Finance Corp. et al., No. 1:13-mi-99999-UNA, Doc. 2396, and was filed on
November 8, 2013 in the U.S. District Court for the Northern District of
Georgia – Atlanta Division.

The homeowner, a widow, is a resident of Alabama. She alleges that, among
other things, HSBC force placed a hazard policy on her home through a
subsidiary of Assurant after her home was destroyed by fire (Complaint, paras.
67-78). Although she was fully insured at the time of the fire through her own
insurance, lender HSBC subsequently force placed hazard insurance on what
remained of the burned-down home. The widow contends that she was not able to
locate an insurer willing to sell her a new hazard policy on the destroyed
home until it had been rebuilt. Further, she claims that Assurant remitted
"kickback" commissions to HSBC for allowing Assurant's subsidiary to
force-place the hazard policy. The end result – she alleges that HSBC's
business practices have cost her thousands of dollars in unnecessary insurance
expenses.

The Force-Placed Insurance Industry

Mortgage contracts typically allow a lender to impose hazard or flood
insurance on a property if required insurance coverage has been allowed to
lapse. In the vast majority of cases, force placed policies cost far more than
the standard homeowners' coverage a consumer can purchase on their own. These
exorbitant prices are often driven by the kickback commissions that mortgage
companies have been allowed to accept from insurers for the privilege of
arranging force placed policies.

Regrettably, the widow's complaint against HSBC is one of many alleged against
lenders, servicers, and insurers in recent years. This means that tens of
thousands of people around the country who had hazard or flood insurance
forced placed on their property may be entitled to millions of dollars in
compensation from HSBC and other mortgage lenders, servicers, and insurers
such as Assurant due to the predatory manner in which the industry has been
allowed to operate. Despite actions by regulators to change the industry's
mode of operation in recent months, the only recourse available to past
victims of these egregious forced placed insurance practices may be through
the courts.

In summary, victims of force placed insurance may be entitled to significant
financial compensation, but the time to act is growing short.

Force Placed Insurance Claims

Gilman Law LLP is already representing many consumers nationwide who have been
victims of forced insurance, but the firm's force placed insurance lawyers
believe that these consumers represent only a fraction of those who may have
been thrown into foreclosure or had their credit ruined due to forced placed
insurance. Hence, Gilman Law LLP is urging any affected consumer to contact
the firm immediately for a free, no obligation force placed insurance lawsuit
consultation.

Gilman Law LLP believes that in some cases, property owners may be entitled to
compensation equaling as much as 25% of the premiums they were assessed for
force placed hazard or flood insurance. Affected consumers, however, have only
a brief time in which to act.

In addition to HSBC, Gilman Law LLP continues to prosecute forced placed
insurance lawsuits against other lenders and servicers, including Bank of
America, Citibank, M&T Bank, Green Tree, Nationstar, Chase, OCWEN, U.S. Bank,
ING, Capital One, American Security, QBE, and Assurant, Inc.

If any of these lenders held a mortgage on your home and force-placed hazard
or flood insurance on your property, it is of the utmost importance that you
contact Gilman Law LLP today, at 1-888-252-0048 to preserve your right to
compensation. Don’t hesitate! Call Gilman Law LLP now to ensure your legal
rights are not placed in jeopardy.

About Gilman Law LLP

Gilman Law LLP, a leading consumer law firm with offices in Florida and
Massachusetts, has been recognized for delivering successful results to their
clients across a broad range of claims stemming from consumer product injury,
mass tort, and class action lawsuits. For over 34 years, the Gilman Law LLP
team of highly experienced lawyers has earned renown for tireless work on
behalf of their clients on many of today's most challenging and important
legal issues.

Contact:

Gilman Law LLP
Kenneth Gilman, 1-888-252-0048