Depreciation of Labor Costs
Frankenmuth “Replacement Cost Less Depreciation” Calculations Class Action
Frankenmuth Mutual Insurance Company offers policies for property insurance. When Frankenmuth calculates the actual cash value (ACV) of losses in certain states, it uses a “replacement cost less depreciation” method. The complaint for this class action alleges that Frankenmuth, in calculating payouts, improperly depreciates labor. Read more
Auto-Owners Insurance Claims Depreciation of Labor Multi-State Class Action
When an insurance company calculates a payout for property damage, it may take the cost of a new equivalent structure, then subtract depreciation. But can depreciation be subtracted from labor costs? In certain states, or under certain policies, it cannot, claims the complaint for this class action. It brings suit against Auto-Owners Insurance Company, claiming Read more
Ohio Insurance Claims Nonmaterial Depreciation Settlement
This settlement resolves a class action against four insurance companies: Liberty Insurance Corporation, Safeco Insurance Company of Indiana, LM Insurance Corporation, and Liberty Mutual Fire Insurance Company. The complaint alleged the companies improperly deducted depreciation on nonmaterial costs like labor when adjusting claims. Read more
Homeowners Insurance Depreciation Settlement
This settlement resolves a class action against a number of insurance companies—LM Insurance Corporation, Liberty Insurance Corporation, Liberty Mutual Fire Insurance Company, Safeco Insurance Company of America, and Ohio Security Insurance Company. The lawsuit alleged that these companies should not have deducted depreciation on labor and other nonmaterial costs from homeowners’ payouts in Tennessee and Read more
USAA Nonmaterial Depreciation Settlement
This settlement resolves a class action against USAA General Indemnity Company, United Services Automobile Association, USAA Casualty Insurance Company, and Garrison Property and Casualty Insurance Company. The complaint claimed the companies had improperly deducted nonmaterial depreciation when adjusting certain claims in Tennessee and Mississippi. Read more
State Auto P&C Depreciation of Labor on MI, TN, KY, or OH Claims Class Action
State Auto Property and Casualty (P&C) Company offers personal and commercial lines of property insurance. According to the complaint for this class action, when calculating property loss or damage payouts, it depreciates non-material items, such as labor, something the complaint claims is improper. Read more
State Farm Fire and Casualty Depreciation of Labor Arkansas Settlement
State Farm Fire and Casualty Company is electing to settle a class action alleging that it underpaid certain insurance claims for losses to structures in Arkansas. According to the complaint, when insureds made claims for damage to structures in Arkansas, the company depreciated labor costs when figuring the actual cash value (ACV) for repairs or Read more
Erie Insurance Depreciation of Labor on Claims Ohio Class Action
Materials used to build structures deteriorate over time. So when insurance companies assess the actual cash value (ACV) of a damaged property, they subtract depreciation according to the structure’s age. However, the complaint for this class action alleges that, while it’s fine to depreciate the materials, labor should not be depreciated. It claims that Erie Read more
Catlin Specialty Insurance Company Labor Depreciation Tennessee Class Action
When your insurance company pays for the repair or replacement needed for a damaged structure, how do they calculate the actual cash value (ACV) and your payout? The complaint for this class action alleges that Catlin Specialty Insurance Company deducts depreciation for labor, and claims that the company should not be permitted to do that. Read more
Met Property and Casualty Damage Payouts MI and TN Class Action
When an insurer calculates how much to pay out on a loss involving property, it generally subtracts an amount for depreciation of the property. However, the complaint for this class action alleges that Metropolitan Property and Casualty Insurance Company (MetLife) subtracts sums for the depreciation of labor. The complaint argues that labor does not depreciate Read more
