Insurer State Farm is upset at having to pay out millions of dollars worth in legal fees arising out of the sexual abuse case involving former Penn State assistant coach Jerry Sandusky. State Farm has moved to ensure that it is exempt from Sandusky's legal bills, which are mounting.
State Farm Fire and Casualty Co. has filed a federal lawsuit. In the lawsuit, the insurer argues that it had sold Sandusky a homeowner policy, which provided the former assistant coach limited personal liability coverage. However, in its lawsuit, State Farm claims that its policy does not cover any injuries caused by any policyholder's willfully intentional acts.
Since being arrested on charges of sexual abuse and molestation, Jerry Sandusky has used his homeowner's insurance at State Farm in order to fund the criminal defense that he mounted to fight off the charges. He has just been through a criminal trial in which he was convicted on multiple counts, and also faces several civil claims from victims who were abused by him.
Last week, State Farm moved to have a judge declare that State Farm is no longer under any obligation to defend Sandusky, because the company is not duty-bound to defend him in a civil case that names his charity The Second Mile as his codefendant. The organization was established for children who came from dysfunctional families, and many of the boys who attended The Second Mile events were abused by Sandusky. In a similar lawsuit, State Farm claims that it should not have to cover any civil lawsuits involving sex crimes that were committed by Sandusky.