Historians R Us

This blog is the property of the AP US History class at Pope John XXIII High School in Everett, MA, USA. Here students explore current events in America, while seeking to understand the historical roots of those events. At the same time, students are able to carry on classroom discussions in the cyber world.

Friday, January 12, 2007

Like a good neighbor, State Farm is there...NOT

The federal jury recently ordered State Farm, the insurance company, to pay a 2.5 million dollar penalty for refusing to pay for a house damaged in hurricane Katrina. It was not a hard decision to make, the jury had their ruling in a mere three hours. The State Farm company tried to prove that the damage was caused by a flood, and that they were not responsible but they failed to do so and had to pay the price.
Prior to the mid nineteenth century, debts were paid off in a rather different fashion. When money was owed, the debtors would be thrown in "debtors' prision." This was by no means a good solution to the issue because while in prision, there is no way to work out of debt. In the case of debt, and how the circumstances are delt with has vastly improved over the years.

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