Farmers Insurance has reached a settlement to resolve a nationwide class action lawsuit. Although Farmers denies any wrongdoing, the insurer agreed to the terms of the settlement in order to “avoid ongoing litigation” and the significant time and monetary resources associated with that path.

In Re Farmers Med-Pay Litigation (CJ-2004-559), plaintiffs charged that Farmers failed to pay—either in whole or in part—“reasonable” expenses for necessary medical services under the medical payments (Med-pay) and/or personal injury protection (PIP) coverage outlined in their automobile policies. This alleged inadequate distribution of benefits was based on Farmers’ use of certain systems and procedures for adjusting claims for paying medical expenses incurred as a result of an auto accident.

Want to continue reading?
Become a Free
PropertyCasualty360 Digital Reader.

INCLUDED IN A DIGITAL MEMBERSHIP:

  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.

Already have an account?


NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

PropertyCasualty360

Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join PropertyCasualty360.com now!

  • Unlimited access to PropertyCasualty360.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including BenefitsPRO.com, ThinkAdvisor.com and Law.com
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2024 ALM Global, LLC. All Rights Reserved.