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.