Allstate Extorted Her, Policyholder Says

CLEVELAND (CN) - After denying in bad faith to reimburse a policyholder whose car was stolen and burned, Allstate tried to extort $4,200 from her by threatening to criminally prosecute her unless she coughed up the money for the "alleged expenses" the insurer ran up in denying her claim, the woman claims in Cuyahoga County Court. "The demand to be paid $4,218.84 or face criminal prosecution constitutes extortion," says the woman, who demands punitive damages.

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