Class Action: Farmers Insurance Exchange Ripped Off Its Vehicle Insurance Policy Owners, Took Advantage of Pandemic
Farmers Insurance Exchange is formally accused by a class action lawsuit for allegedly illegally making a profit out of their customers during the ongoing Coronavirus disease-2019 (COVID-19) global pandemic after they did not return money to their auto insurance policy owners.
Daniel De Sloover v. Farmers Insurance Exchange
California resident Daniel De Sloover filed a class action against the insurance company Farmers Insurance Exchange after they failed to refund his and other car insurance policyholders’ money amidst the covid-19 pandemic.
He contended that Farmers Insurance Exchange illegally profited from the situation by continuing charging their customers insurance premiums.
The complainant pointed out that due to the strict social distancing measures and lockdowns imposed nationwide, fewer people were going out of their houses and driving to places.
This reportedly resulted in a lesser number of vehicular accidents that require auto insurance policy coverage. Yet, the company continued to make a profit during the said period by continued insurance policy premiums collections.
Company Did Not Do Its Part
Although Farmers Insurance offered different forms of credit for their customers to avail during the early stages of the COVID-19 pandemic, De Sloover described them as not enough and just short-lived efforts by the company to mask its illegal dealings. No further refund programs were introduced in the following months.
Furthermore, he argued that the initial credit of up to 25% was inadequate, for a number of studies have shown that Farmers Insurance Exchange auto insurance holders should be entitled to receive more than 30% instead.
Complainant De Sloover argued that he and other car insurance owners would not have continued to pay for their insurance premiums if they have known the truth behind Farmers Insurance’s large financial gains.
Filed in a California federal court, the Farmers Insurance Exchange Car Premiums Class Action Lawsuit asks the court to order the insurance company to provide the proper refund rates their vehicular insurance policyholders are entitled to.
About The Defendant
Farmers Insurance Exchange is a company under the Farmers Insurance Group of insurance providers. Based in California, the company was founded in 1928. The company joins a long list of its fellow related subsidiaries, including Truck Insurance Exchange, Fire Insurance Exchange, and the like.
Editor’s Note on Farmers Insurance Exchange Car Premiums Class Action Lawsuit 2021:
This feature article reports on the latest class action filed against Farmer Insurance Exchange after they purportedly took advantage of the COVID-19 pandemic situation as they continued to collect car insurance from their customers.
Case Name(s) & No.(s): Daniel De Sloover v. Farmers Insurance Exchange; Case No.: 3:210cv004725
Jurisdiction: United States District Court for the Northern District of California San Francisco / Oakland Division
Products/Services Involved: Farmers Insurance Exchange’s Auto Insurance Policy
Allegation(s): Farmers Insurance has continued to illegally collect insurance premiums from their clients amid the pandemic even though there are lower risks of accidents present due to the government-imposed lockdowns.
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