WSFA 12 News Montgomery, AL |Macon County Woman Wins Billions In Insurance Case

Macon County Woman Wins Billions In Insurance Case

A Macon county jury awarded a woman $1.6 billion dollars in an insurance fraud lawsuit.

Carolyn Whittaker claimed she was defrauded by Southwestern life insurance company and its employee, James Richard Perry.

The jury Wednesday found that Perry had collected insurance policy payments from Whittaker on a policy that had lapsed in 1996. Whittaker called the jury's decision -- "a blessing."

She sued over a twenty-five thousand dollar policy and fifty dollar monthly payments she made even though the policy had lapsed. A spokesman for Southwestern life said Friday, the verdict was "clearly inappropriate" and that the company would appeal. Spokesman Steve Dishart in New York says the company is confident that this decision will be "rectified by the rights of challenge and appeal that Southwestern will pursue vigorously."

Whittaker attorney Jock M.Smith of Tuskegee says Whittaker is unlikely to collect the entire $1.6 billion. Southwestern life and Perry have up to 30 days to ask for a new trial, but that if they don't get one, they'll have 42 days to seek an appeal.

The jury ruled Perry and Southwestern life each must pay eight hundred million in punitive damages and ten million dollars in compensatory damages.