California class-action lawsuits challenging legality of insurers' market rate surveys and claim payment practices
February 2, 2007
Automotive Body Repair News
by James E. Guyette
Abstract:
A series of policyholder-driven class-action lawsuits being pursued in California are assailing the prevailing market-rates surveys conducted by insurers along with the companies’ claim settlement amounts. Thus far, four legal challenges have reached the courts; another four are in the preparatory stages.
Certain insurer surveys — ostensibly designed to determine how much body shops are paid for collision repairs — are either non-existent or rife with faulty methodologies, according to plaintiff lawyer John N. Quisenberry. The lawsuits already filed are against Allstate, USAA, Progressive and the
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