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WH senior adviser puts State Farm on blast for refusing some Hurricane Ida coverage

On Don Lemon Tonight Thursday, Senior Adviser to President Biden, Cedric Richmond, slammed State Farm for reportedly refusing to cover extra costs policyholders endured due to Hurricane Ida. While some companies, like Allstate and USAA, have agreed to cover some of these additional costs, State Farm has said it will not cover extra costs for homeowners who were not under a mandatory evacuation order.

“We have companies like State Farm, and I call them by name, that have decided that they're still going to use that loophole or that technicality or fine print, to deny coverage,” Richmond said. “People left because it was a storm bigger than Katrina. Then it knocked out the power [for] over a million people, and southern heat, 102, 105 heat advisories, and State Farm's position is that people could have went home and lived in that house.”

Richmond, a Louisiana native and former congressman from the state, even called out State Farm leadership directly.

“My opinion is that the CEOs and the leadership at State Farm would not stay in a house with damage, without power in 105 degree heat,” Richmond said, “and they should not expect Louisiana citizens or Mississippi citizens to do that.”

Video transcript

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CEDRIC RICHMOND: We have companies like State Farm, and I call them by name, that have decided that they're still going to use that loophole or that technicality or that fine print to deny coverage.

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KYLIE MAR: Senior advisor to President Biden, Cedric Richmond, appeared on Don Lemon Tonight, Thursday, where he spoke of the devastation left by Hurricane Ida, and the need for insurance companies to take care of their policyholders. While some companies like Allstate and USAA have agreed to cover some extra costs, State Farm has reportedly refused to cover any costs for homeowners who were not under a mandatory evacuation order.

CEDRIC RICHMOND: People left because it was a storm bigger than Katrina. Then it knocked out the power over a million people, and southern heat, 102/105 heat advisories, and State Farm's position is that people could have went home and lived in that house.

KYLIE MAR: President Biden urged insurance companies last week to step up and cover extra costs without specifically naming State Farm. But Richmond called out the insurance giant's leadership.

CEDRIC RICHMOND: My opinion is that the CEOs and the leadership at State Farm would not stay in a house with damage without power and 105-degree heat, and they should not expect Louisiana citizens or Mississippi citizens to do that.

KYLIE MAR: And Richmond, a Louisiana native, spoke about the financial hardships people are facing in his home state.

CEDRIC RICHMOND: The amount of calls that I get from people who find themselves in a position of having to replace all the food in the refrigerator, pay for hotel rooms, pay for travel back home, and pay for the food, this is not a game. This is real and the money adds up.