Insurer's TV Commercial Creating Fear Of Possible Loss Of Home To Scare Texans Into Buying Unnecessary Coverage Ordered Yanked By State AG

From the Office of the Texas Attorney General:

• Texas Attorney General Greg Abbott [] sent a demand letter instructing Travelers Insurance (The Travelers Companies Inc.) to cease and desist the airing of a deceptive television advertisement. According to the attorney general’s letter, the ad improperly indicates that Texas homeowners should purchase additional motor vehicle insurance or risk losing their homes if they have inadequate insurance after a vehicle accident. The attorney general demands that the advertisement be removed from all Texas television media markets as well as any print, multimedia, radio or computer-generated ads that appear in the state.

• “Texans are protected by robust homestead laws that insulate homeowners from the losses depicted in Travelers’ advertisements,” Attorney General Abbott said. “Because the state already protects homeowners, it is improper for Travelers to scare Texans into buying insurance they may not need. The letter we sent today instructs Travelers to pull down this misleading advertisement immediately or face legal action by the state.”(1)

For the entire Texas AG press release, see Attorney General Abbott Sends 'Cease and Desist' Letter to Travelers Insurance for Deceptive Ad (TV ad wrongly alarms Texans they can lose their homes without adequate auto coverage).

Go here for:

• Attorney General's cease and desist letter - The Travelers Companies Inc.,
• Travelers Companies' response to the Attorney General's demand letter.

(1) Unlike homestead laws in most states, the homestead protections in Texas, much like Florida and a few other states, generally "bulletproofs" the family home against forced sale resulting from almost all unpaid court judgments & liens (mortgage, homeowner/condominium association, home improvement, and federal tax liens are among the few exceptions).