Judge Sends Katrina Lawsuits to Mediation — Lott, Taylor’s Cases Among 83 to Be Heard in February, March

By Garry Mitchell The Associated Press

GULFPORT – A federal judge Wednesday ordered into mediation dozens of lawsuits that policyholders filed against insurance companies after Hurricane Katrina, even as a jury prepares to decide another case on trial this week in the same judge’s courtroom.

Several cases sent to mediation by U.S. Dist. Judge L.T. Senter Jr. are involved in recent settlement talks between State Farm Fire & Casualty Co., Mississippi Atty. Gen. Jim Hood and policyholders’ lawyers.

The trial that Senter is presiding over this week isn’t part of the settlement talks. The timing of his order appeared to be a coincidence.

Lawsuits filed against State Farm on behalf of Sen. Trent Lott, R- Miss., and Rep. Gene Taylor, D-Miss., are among the 83 cases that Senter ordered into mediation Wednesday. Katrina destroyed Lott’s home in Pascagoula and Taylor’s home in Bay St. Louis. Each sued State Farm for denying their claims.

Before this week, Senter had ordered mediation for dozens of other Katrina insurance suits. Of 55 cases heard by a mediator, 28 have resulted in settlements, according to Senter’s office.

The latest batch of mediation cases are to be heard in February and March.

Meanwhile, State Farm’s expert witnesses told a jury of four men and four women Wednesday that no evidence supports the claim of policyholders Norman and Genevieve Broussard that a tornado during the Aug. 29, 2005, hurricane destroyed their Biloxi home.

The case was expected to go to the jury today.

Hundreds of Mississippi homeowners have sued State Farm and other insurers for refusing to cover billions of dollars in Katrina storm surge damage.

Insurers say their homeowner policies cover damage from wind but not water, and exclude damage that could have been caused by a combination of both, even if hurricane-force winds preceded rising water.

Robert Dean, a civil engineer and Federal Emergency Management Agency consultant, testified for State Farm that he surveyed Katrina’s damage on the Mississippi coast and concluded that storm surge demolished the Broussards’ home.

Kirk Gurley, an engineer and wind damage expert, said Katrina’s winds were not strong enough to destroy the Broussards’ home. He attributed the damage to storm surge .

Associated Press writer Michael Kunzelman contributed to this story.

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