Total Loss Undervaluation Lawsuit Filed Against State Farm in North Carolina
A class action lawsuit has been filed against State Farm in North Carolina, similar to complaints in six other states, alleging the insurance company undervalued total losses.
Plaintiff Craig Brewer's case claims State Farm reduced his total loss payout by 5.5% by lowering the retail cost of comparable vehicles. The suit alleges that for each class member, State Farm reduced total loss payouts by 4-9%.
[T]he plaintiff only contests State Farm’s blanket reduction of the retail cost of comparable vehicles on behalf of himself and the class. Therefore, none of the total loss vehicles have to be revalued.
Author's summary: State Farm faces lawsuit over undervalued total losses.