Geico General Insurance Unfair Processing of Claims Class Action

The complaint for this class action alleges that Geico General Insurance Company withheld information about benefits under an auto policy, was slow in processing claims, and made an offer of compensation that was too low.

The class for this action is all persons who had a property/vehicle loss under an insurance policy with Geico, whose claims were unfairly and deceptively processed, whose rights or entitlements were unfairly or deceptively not disclosed, who were not adequately indemnified or adequately compensated for their loss in a prompt and reasonable way, and who were led to believe in a “family treatment” when both parties to the accident were insured by Geico.

Jacques Ronald Cordon was insured by Geico when he was involved in an accident with another vehicle on January 14, 2019. The other vehicle, which was declared to be at fault, was owned and driven by Sylvia and Joseph Chaim Krasner. The Krasners are also named as defendants in this case, and they were also insured with Geico.

Geico sent an adjuster, Adriana Rivas, to evaluate the damage to Cordon’s vehicle. Rivas came to see the vehicle at Cordon’s office, but was unable to complete the inspection because she could not open the hood.

She told Cordon to take the vehicle to a body shop so that the hood could be opened, and he did so. The body shop opened the hood and told Cordon there was other damage to his vehicle.

On January 28, two weeks after the accident had occurred, Geico still had not contacted Cordon about the status of his insurance claim. Cordon rented a car to get around in.

The complaint alleges that Rivas should have, but did not, tell him that his policy entitled him to a rental car, so Cordon paid for his rental himself. Eventually, Rivas told him he was only entitled to a week of rental, so Cordon had to extend it each week.

At last, Geico declared the vehicle a total loss. However, the complaint says the statement it sent “offer[ed] to pay an amount substantially below the value of the Vehicle in the local marketplace and nothing for the rental [or] the storage of the Vehicle.”

Cordon then did his own research on local prices, and, the complaint says, “submitted comparables at more than twice” Geico’s offered price. Geico in return submitted examples of vehicles from other states with no details as to condition or mileage.

Geico claimed it would handle the rental and storage separately, but the complaint says it has yet to do so and yet to come up with other statements as to the value of the car. Cordon has had to pay for his rentals himself.

Cordon asked if the filing of the claim would affect his premiums, even though he was not at fault. The complaint claims, “Geico then switched and processed the claim under the Krasners’ policy. Geico has since ignored Cordon…”

The counts allege violations of Florida’s Deceptive and Unfair Trade Practices Act.

Article Type: Lawsuit
Topic: Insurance

Most Recent Case Event

Geico General Insurance Unfair Processing of Claims Complaint

January 22, 2021

The complaint for this class action alleges that Geico General Insurance Company withheld information about benefits under an auto policy, was slow in processing claims, and made an offer of compensation that was too low.

Geico General Insurance Unfair Processing of Claims Complaint

Case Event History

Geico General Insurance Unfair Processing of Claims Complaint

January 22, 2021

The complaint for this class action alleges that Geico General Insurance Company withheld information about benefits under an auto policy, was slow in processing claims, and made an offer of compensation that was too low.

Geico General Insurance Unfair Processing of Claims Complaint
Tags: Auto Insurance, Incomplete payment of benefits due, Insurance