Chubb Ltd. is a Swiss insurance company that sells insurance in the US through its subsidiaries, including Federal Insurance Company. The complaint alleges that the two promise discounts on renewals of their homeowners and valuable articles insurance policies, do not deliver the promised discounts, and do not explain their calculations.
The National Class for this action is all persons or entities in the US and its territories that bought or renewed an insurance policy provided by Chubb, directly or through a subsidiary, for which Chubb or Federal did not apply promised discounts. A California Subclass has also been defined for those in the above class in California.
The plaintiff in this case, Gilbert Purcell, owns a home in Sausalito, California that he insures with Chubb.
His “Masterpiece” policy renewal was sent to him in July 2022, to cover his home and valuable items from August 26, 2022 to August 26, 2023. The renewal set forth a number of discounts for which he was purportedly eligible. The complaint alleges, “The Renewal represented that the original, undiscounted price of Chubb’s Policy was “$60,078, but that after receiving the enumerated discounts, the aggregate discounted price of Chubb’s policy was $35,849.”
The renewal listed a number of percentage discounts, the complaint alleges, including such things as the following:
- 14% “for taking steps toward superior protection”
- 10% “because you also insure your automobiles with Chubb”
- 10% “since your owned residence has no mortgage or lien”
In all, the percentage discounts add up to 59%, and the complaint claims that Chubb promised other discounts as well that were not linked to percentages. According to the complaint, the renewal did not list the dollar value of these discounts or the sequence in which they were to be applied to the renewal price.
Because it seemed that the final cost of the policy should have been $30,616 or less, the complaint alleges, Purcell asked a Chubb agent to clarify. But the complaint claims, “Even after repeated communications with Chubb, the agent did not know, and could not explain, the pricing and discount application in the Renewal.”
To make matters even more confusing, the complaint also claims, “Chubb at no point provided a complete copy of the entire policy, instead sending a scattershot gathering of non-consecutively paginated documents, rather than the ‘new policy to review’ that it had promised, hindering communications…”
Purcell paid the higher, billed price before the deadline because he did not want the policy to lapse, but the complaint alleges that he has still received no refund and no clear explanation of how the discounts were applied.
The complaint therefore contends, “Chubb regularly represented the false numeric percentage discounts for its homeowners insurance policies in order to induce customers to purchase or renew these policies and did not apply the represented promised discounts.”
Article Type: LawsuitTopic: Insurance
Most Recent Case Event
Chubb Discounts on Renewals of Insurance Policies Complaint
January 10, 2023
Chubb Ltd. is a Swiss insurance company that sells insurance in the US through its subsidiaries, including Federal Insurance Company. The complaint alleges that the two promise discounts on renewals of their homeowners and valuable articles insurance policies, do not deliver the promised discounts, and do not explain their calculations.
Chubb Discounts on Renewals of Insurance Policies ComplaintCase Event History
Chubb Discounts on Renewals of Insurance Policies Complaint
January 10, 2023
Chubb Ltd. is a Swiss insurance company that sells insurance in the US through its subsidiaries, including Federal Insurance Company. The complaint alleges that the two promise discounts on renewals of their homeowners and valuable articles insurance policies, do not deliver the promised discounts, and do not explain their calculations.
Chubb Discounts on Renewals of Insurance Policies Complaint