State Farm Profits Double in 2010; Yet Says Losing Money Due To Fraud

Each year insurance companies for whatever section of the insurance market cry foul when it comes to fraud. They wine & dine our legislators, contribute large amounts of money to their re-election campaigns, give donations to they favorite charities all to get them to introduce legislation to curtail "fraud".  Yet, time and time again, it seems as if the insurance companies continue to win big with their profits. 

According to ChicagoBusiness.com, & The Chicago Tribune; State Farm has doubled its profits last year.  They hide these facts yet throw up smoke screens of fraud and every turn.  Why? Because it enables them to justify raising your rates for insurance.   For details, click here to read the full story.

Just remember, there's a difference between losing money and not making as much profit. And as we now see, in spite of alleged fraud claims, State Farm (and I'm sure others) are profiting nicely.  Especially in an economic environment where half of their policy holders are probably having difficulty paying their premiums, holding a job and keeping a roof over their families head.

I hope someone in the state legislature sees this before trying to introduce more crazy legislation to stem insurance fraud that is but a minor blip on the screen.  You see last year, State Farm only made $800 million profit.  This year, State Farm made $1.8 BILLION in profit.

You think now maybe you can pay my doctor and fix that dent in my car?