Skip to content

Carrier Management

Critical Information for P/C Carrier Executives

Highlights

  • P/C Industry Loss Reserves Redundant by More Than $20B: ...
  • How Modern is Modern Enough?
  • Liberty Mutual Done with Fixing, On to Building
  • Carrier Management
  • C-Suite
  • News
  • Research
  • Leadership
  • Markets
  • Regulation
  • Top 50
  • Members Only
  • Join
  • Login
  • Boardroom Agenda
  • CEO / Chief Executive
  • CFO / Financial
  • Underwriting
  • CTO / Technology
  • Risk
  • Brand Management & Sales
  • Investment Officers
  • Claims / Legal
  • Talent Management
Meet the New AI Coworker Who Won’t Stop Snitching to Your Boss
What Men and Women Think About Gender and Pay: AP-NORC poll
  • U.S.
  • International
  • Industry News
  • Government
  • Technology & Science
Vehicle Customization, Strong Used Car Market Create Headache for Auto Underwriters
U.S. Forecaster Expects ENSO‑Neutral to Continue, While El Nino Risk Builds

See all News

  • Executive Spotlight
  • Innovation
  • Strategy
  • Leadership
  • Performance
  • Growth Initiatives
  • Social Responsibility
From Volatility to Value: How Carriers Can Build Durable Growth
Four Moves That Will Keep Midsize Mutuals Competitive
  • Reinsurance
  • Emerging Markets
  • Global Economy
  • Personal Lines
  • Commercial Lines
  • Specialty
U.S. E&S Growth Slows Again; Declining Berkshire Volume Tops Leaders
U.S., Iran Agree to Two-Week Ceasefire Brokered by Pakistan
  • Insurance Regulation
  • Securities Regulation
  • Accounting & Tax
  • Rating Agencies
NAIC Issues Nationwide Data Call to Homeowners Insurers
Verisk, APCIA See ‘Reset’ Rather Than New Normal in Stellar ’25 Results
‘Too Much Space,’ Says State Farm CEO on Shuttering Corporate HQ
P/C Industry Loss Reserves Redundant by More Than $20B: Assured Research
The List Is Growing: More Insurance Apps on ChatGPT
Is Commercial Auto Having It’s ‘Sprinkler Moment’?

See all Top 50

How Insurance Leaders Can Leverage AI Without Sacrificing Trust
How Insurance Can Turn Maintenance Into Measurable Competitive Advantage
The Enemy Within: Insider Threats Are Hard to Detect, Harder to Predict
Investor Chicken Little and the AI Sales Channel: OpenAI Insurance Apps Trigger Uncertainty

See all Members Only Content

Benefits

  • News for the P/C Insurance C-Suite - Focused reporting from reliable sources and experienced financial journalists.
  • Research and Analysis Not Found Elsewhere - Exclusive content from researchers think tanks, industry experts and respected analysts.
  • High-Profile Peers - Interviews with thought leaders in the global and U.S. insurance industry.

Online Access

Complete, unrestricted access to the popular CarrierManagement.com website, which provides insurance company C-suite executives with daily news, white papers, advice, instruction and editorial on how to manage insurance companies more efficiently and more effectively.

Wells Fargo Will Pay $480M to Resolve Fake-Accounts Lawsuit

Print Email
May 7, 2018 by Hannah Levitt

Wells Fargo & Co. agreed to pay $480 million to settle a class-action lawsuit in which investors accused the bank of securities fraud related to its fake-account scandal.

The settlement resolves the main class-action suit brought by shareholders targeting the bank’s allegedly deficient disclosures related to its sales practices. It had previously set aside reserves for the settlement, according to a regulatory filing Friday. Wells Fargo said in a statement that it denies the allegations in the suit.

“Moving to put this case behind us is in the best interest of our team members, customers, investors and other stakeholders,” Chief Executive Officer Tim Sloan said in the statement.

This is the latest cost for Wells Fargo from a consumer banking scandal that arose in September 2016. That issue, in which employees opened as many as 3.5 million bogus accounts, ultimately cost then-CEO John Stumpf his job. The bank still faces a bevy of other lawsuits on related matters.

Last month, the San Francisco-based bank settled with the Office of the Comptroller of the Currency and the Consumer Financial Protection Bureau for an unprecedented $1 billion to cover issues in auto lending and mortgages. In February, the Federal Reserve imposed a sanction prohibiting the bank from boosting total assets beyond their level at the end of 2017 until it fixes shortcomings.

The lender said in a filing Friday that “reasonably possible” legal charges could be as high as $2.6 billion beyond reserves as of March 31. This is down from $2.7 billion in the previous quarter.

Wells Fargo executives are set to update analysts and shareholders on financial targets and regulatory matters at an investor day scheduled for May 10.

The shareholder case is Hefler v. Wells Fargo & Co., 3:16-cv-05479, U.S. District Court, Northern District of California (San Francisco).

Copyright 2026 Bloomberg.
Print Email
Claims / LegalClaims & ReservingCommercial LinesLitigation/Liability TrendsMarketsNewsRiskThe C-SuiteU.S.Underwriting

Was this article valuable?

Thank you! Please tell us what we can do to improve this article.

Thank you! % of people found this article valuable. Please tell us what you liked about it.

Here are more articles you may enjoy.

Hacked Hospitals, Hidden Spyware: Iran Conflict Shows Digital Fight in Warfare
Mississippi Home Mitigation Bill Heads to Governor in Effort to Improve Storm Resilience
Berkshire-owned PacifiCorp Utility Ruling Win Could Reduce Oregon Wildfire Damages
Is Commercial Auto Having It’s ‘Sprinkler Moment’?

Related Articles

Wells Fargo Settles Phony Bank Account Scandal for $142M
Wells Fargo Suit Alleges Bank Encouraged Use of Hidden Fees in Finance Programs
Judge Rejects Wells Fargo Bid to End Predatory Lending Lawsuit
Wells Fargo Will Fork Over $2.09B to Resolve Longstanding U.S. Mortgage Probe
Wells Fargo Could Get $1B Fine to Resolve Auto Insurance, Mortgage Lending Abuses
Wells Fargo, Ex-CEO Fail to Squash Shareholder Lawsuit Over Fake Accounts
Wells Fargo Reportedly Risks Record Fine From U.S. Consumer Watchdog for Various Abuses

Our Contributors

JD HassanIs Commercial Auto Having It’s ‘Sprinkler Moment’?
Manuel Rodriguez VeraHow Insurance Leaders Can Leverage AI Without Sacrificing Trust
Jeff GillFrom Volatility to Value: How Carriers Can Build Durable Growth
Jon DeWaldHow Insurance Can Turn Maintenance Into Measurable Competitive Advantage
Paige WatersUsing Aerial Imagery in Insurance and Related AI: Emerging Regulatory Themes
Stephen RossThe Enemy Within: Insider Threats Are Hard to Detect, Harder to Predict
See All Our Contributors

Free Newsletter

NewsletterSign up to receive daily news!

Features

  • How Insurance Leaders Can Leverage AI Without Sacrificing Trust
  • From Volatility to Value: How Carriers Can Build Durable Growth
  • Traveling for Business? Don’t Forget to Pack Your Emergency Preparedness Plan
  • How Insurance Can Turn Maintenance Into Measurable Competitive Advantage
  • Viewpoint: How Will the Middle East War Affect the Insurance Sector?
  • Is Commercial Auto Having It’s ‘Sprinkler Moment’?
  • C-Suite
  • News
  • Leadership
  • Markets
  • Regulation
  • Top 50
  • Members Only
  • Videos

Headlines

  • P/C Industry Loss Reserves Redundant by More Than $20B: ...
  • How Modern is Modern Enough?
  • Liberty Mutual Done with Fixing, On to Building
  • Fixing Claims Negotiation (Part 5)

Resources

  • Videos / Podcasts
  • Contributors

Popular Topics

  • Boardroom Agenda
  • Technology
  • Financial
  • News

Brand Spotlight

  • Cotality
  • Cytora
  • HazardHub
  • Indico Data
  • Majesco
  • Verisk
  • Vertafore

Connect with us

  • Email Newsletters
  • Twitter
  • Facebook
  • LinkedIn
  • Do Not Sell My Info

Carrier Management

  • Submit Content
  • Advertise
  • Subscribe
  • Contact Us

Wells Media Group Network

  • Carrier Management iconCarrier Management
  • Insurance Journal iconInsurance Journal
  • Claims Journal iconClaims Journal
  • IJ Academy iconInsurance Journal Academy
  • Insurance Journal TV iconInsurance Journal TV
  • MyNewMarkets.com iconMyNewMarkets.com
© 2026 by Wells Media Group, Inc. Privacy Policy | Terms & Conditions | Site Map