Class Actions Allege Auto Insurers Are Overcharging During Pandemic

Class action lawsuits, filed in Nevada state court in Clark County, allege ten major auto insurers have failed to give customers discounts commensurate with a marked reduction in vehicle usage and frequency of accidents in the months since the pandemic settled in. Companies have said in response, as quoted in article from AP News, that there have been some discounts, with one company also noting that repair costs have gone up due to a marked increase in high-speed collisions. Among the companies named in the lawsuits were  Allstate Insurance Co., Geico Casualty Co., Liberty Mutual Group Inc., Progressive Casualty Insurance Co., State Farm Mutual Automobile Insurance Co., and Travelers Casualty Insurance Co. of America. The lead counsel for the plaintiffs acknowledges that some discounts were given, but says they were “totally woefully inadequate.”