BB & T Lender-Placed Insurance Class Action Settlement
The “Settlement Class” includes all borrowers in the United States who, within the Class Period (as defined below), were charged by BB&T under a hazard, flood, flood gap or wind-only LPI Policy for Residential Property, and who, within the Class Period, either (i) paid to BB&T some or all of the Net Premium1 for that LPI Policy or (ii) did not pay to and still owe BB&T the Net Premium for that LPI Policy. Excluded from the Class are: (i) individuals who are or were during the Class Period officers or directors of the Defendants or any of their respective affiliates; (ii) any justice, judge, or magistrate judge of the United States or any State, their spouses, and persons within the third degree of relationship to either of them, or the spouses of such persons; (iii) borrowers who only had an LPI Policy that was cancelled in its entirety such that any premiums charged and/or collected were fully refunded to the borrower or the borrower’s escrow account; and, (iv) all borrowers who file a timely and proper request to be excluded from the Class.
The “Class Period” is from January 1, 2010 through August 12, 2016.
(i) A sum equal to 5% of the Net Premium if you were charged by BB&T for a flood or wind LPI Policy procured by ASIC during the Class Period, or charged by BB&T for a hazard LPI Policy procured by ASIC on or after June 1, 2014;
(ii) A sum equal to 8% of the Net Premium if you were charged by BB&T for a hazard LPI Policy which was procured by ASIC before June 1, 2014;
(iii) A sum equal to 10% of the Net Premium if you were charged by BB&T for a hazard, flood, or wind LPI Policy which was procured by BB&T Insurance Services, Inc. from any insurance carrier on or before December 31, 2012.
(iv) A sum equal to 5% of the Net Premium if you were charged by BB&T for a hazard, flood, or wind LPI Policy on or after January 1, 2013, which was procured by Overby-Seawell Company during the Class Period.
Proof of Purchase
Beber v. Branch Banking and Trust Co.Case # 15-23294-Civ-WilliamsDistrict Court Southern District of Florida
Plaintiffs allege that when the lender placed insurance on their properties after their own policies had lapsed they selected a vendor that was expensive and provided the lender with kickbacks
The lender denies the allegations but will settle to avoid the cost and uncertainty associated to a trial