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Geico in Alleged Misclassification Scheme Class Action Lawsuit

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New York, NY: A bad faith insurance insurance class action lawsuit has been filed against auto insurance giant Geico, in New York federal court, alleging the insurer "deliberately and systematically"misrepresented information about the plaintiffs' accident histories and risk tiers to stop them from going to competitors.

The New York class action was filed Friday in the U.S. District Court for the Eastern District of New York, and alleges Geico either assigned "at-fault"status to policyholders who bore no reasonability for the accidents or misclassified their risk tiers.

"As a result of Geico's misclassification schemes, plaintiffs and the class have had difficulties purchasing insurance from other insurance companies, have been captive to Geico, and have paid inflated premiums,"the lawsuit states.

The plaintiffs in the New York action are represented by Oren Giskan and Raymond Audain of Giskan Solotaroff Anderson & Stewart LLP, as well as Joseph A. Romagnolo of the Law Offices of Joseph A. Romagnolo.

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Reader Comments

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I currently am having an issue with my rates for automobile insurance through Geico based on a ticket that was dismissed for failure to stop at a red light. In addition, I was told by the Representative that I would receive a discount for combing both my home and auto....it never happened...I am now forced to use my mortgage carrier for insurance on my home...which is GreenTree/Ditech.

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