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State Farm avoids liability to health care provider for no fault medical payments

Eric Afful was hurt in a car accident.  He sought payment for his medical bills, including bills for treatment of a head injury.  State Farm alleged that Afful was attempting to defraud the company with fraudulent claims for home attendant care and in a trial, the jury agreed.  On that basis, State Farm was allowed to negate any duty to pay for medical expenses under a clause in its contract excluding all liability where a fraudulent claim has been pursued.  TBCI, Inc. had filed a separate suit against State Farm, seeking payment for $35,000.00 of medical care it had provided.  The Court ruled that the exclusionary clause in Afful's contract and the verdict against Afful  for over-reaching allowed State Farm to avoid its obligation to pay any health care provider for services rendered.
Thompson O’Neil, P.C.
309 East Front Street
Traverse City, Michigan 49684
Toll Free: 1-800-678-1307
Fax: 231-929-7262