SAN FRANCISCO – A consumer claims an insurance company offers 'lowball' property damage offers to its clients in cases where property is determined a total loss.
Bobby Jones filed a complaint on Dec. 2 in the U.S. District Court for the Northern District of California against Progressive Casualty Insurance Co., The Progressive Corp., Mitchell International Inc. and Does 1-50 alleging unlawful, unfair and deceptive business practices and other counts.
According to the complaint, the plaintiff alleges that he was faced with a vehicle that was declared a total loss. The suit states the defendants worked as partners for determining the value of total loss claims, however, to increase profit margins, the defendants engaged in a scheme to defraud insurers, such as using vehicles with salvage titles as a “comparable vehicle” and fabricated contacts with licensed dealers in obtaining mock-up quotations of vehicle value. As a result, the plaintiff alleges he was induced to accept a reduced valuation of his total loss vehicle and made to suffer monetary damages.
The plaintiffs hold Progressive Casualty Insurance Co., The Progressive Corp., Mitchell International Inc. and Does 1-50 responsible because the defendants allegedly failed to fairly pay for claims made by those insureds, made false statements about the true value of their vehicles, and induced plaintiffs to accept a reduced amount on their automobile insurance claims.
The plaintiffs request a trial by jury and seek judgment against defendants, certify case as a class action, declare defendants unlawful practices, restitution and/or disgorgement, interest, attorneys' fees, costs and expenses, declaratory relief and further relief as the court deems just. He is represented by David A. Kleczek of Kleczek Law Office in Oakland and H. Paul Bryant of Law Offices of H. Paul Bryant in Oakland.
U.S. District Court for the Northern District of California Case number 4:16-cv-06941