Geico class action settlement overview:
- Who: Geico has agreed to pay nearly $2 million to settle a class action lawsuit.
- Why: The Geico class action alleged the insurer failed to pay title or registration transfer fees for the total loss of insured vehicles.
- Where: The Geico class action lawsuit was filed in New Jersey federal court.
A nearly $2 million Geico settlement should be approved, a plaintiff urged a New Jersey federal judge on July 1.
Plaintiff Diane McCoy filed the motion for preliminary approval of the Geico class action settlement, which would resolve allegations the insurance company failed to pay title or registration transfer fees for the total loss of insured vehicles.
About 33,000 Geico policyholders may qualify as class members. If the Geico settlement is approved, class members may be entitled to compensation valued at about 90% of the title and registration transfer fees.
Geico class action says insurer failed to pay mandatory replacement fees
McCoy filed the Geico class action lawsuit after her car was totaled in a 2018 auto accident. She filed a claim with Geico, and the insurance company determined the vehicle was a total loss.
According to her Geico policy, Geicoโs liability for loss is limited to the actual cash value of the property at the time of the loss. Geico paid McCoy approximately $3,500 for the loss, which did not include payment for title or registration transfer fees. These fees are mandatory vehicle replacement costs in New Jersey, the Geico class action explains.
McCoy argues the โreplacement costโ on a total loss vehicle includes the mandatory replacement fees, and claims Geicoโs failure to pay these costs amounts to a breach of contract.
She filed the Geico class action lawsuit on behalf of herself and other Geico policyholders who were allegedly underpaid on the replacement fees due to their total loss claims.
Geico has also agreed to pay replacement fees in New Jersey on total loss vehicles moving forward.
McCoy told the court the proposed Geico settlement terms are โfair, reasonable and adequateโ and urged the judge to preliminarily approve the deal.
A similar Geico class action settlement was recently reached in Louisiana.
What do you think about this Geico settlement? Tell us your thoughts in the comments.
McCoy is represented by Mark A. DiCello and Daniel R. Ferri of DiCello Levitt LLP, Rachel Dapeer of Dapeer Law PA, Edmund A. Normand of Normand PLLC, Scott Edelsberg and Adam Schwartzbaum of Edelsberg Law PA and Andrew J. Shamis of Shamis & Gentile PA.
The Geico class action lawsuit is Diane McCoy v. Geico Indemnity Co., Case No. 3:20-cv-05597, in the U.S. District Court for the District of New Jersey.
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152 thoughts onGeico to pay $1.9M to settle fee payment class action
Pleas contact me I have strong winnable case that needs to start. I need to be represented properly to after GEICO. I have all of the pertinent evidence informations, field photos of the scene, photos of my totaled vehicle, photos of me on the gurney and inside the ambulance.
Geico over charge me bad then had my insurance canceled and I wasnโt even aware if it until call it was not suppose to canceled butbhad bern riding for like
That and they were paid they made it good and myblasy 2 payments they wanted to charger me 965 dollars that was really wrong they use to be good but now they robbing folks out there noney
My car was totaled and GEICO paid for total loss and yet I still owe $14000.00 on a car I donโt even drive anymore that was supposed to be a total loss. I thought they were supposed to pay the whole car off. Thatโs why I changed my insurance.
GEICO sent a card
Funny. I worked at GEICO and itโs always been poilicy to pay the taxes, tag, abd title fees on a total loss and total theft vehicle settlement. I guess the New Jerset adjusters missed that day of training. ๐คทโโ๏ธ
I guess they missed it in Louisiana as well. I paid for my fees too.
Suing Geico, cuz they over charged me for
I live in Florida. 4yrs ago, they determined my car was a total loss, they were NOT my insurance company, as I was not the one that caused the accident. I was driving a 1992 Honda Accord that I had bought only 1mo prior for 1800.00 I was issued a rental while waiting for my car to be repaired or to receive payment for my loss. Well, I NEVER GOT PAID for my car, AND Enterprise decided I had it 5 days too long and GEICO refused to pay for it, so I received a bill for 200$ in the mail 2 no laterโฆJust 3 mo ago, I ended up in JAIL for supposedly not returning the rental car and the report and warrant was filed 16 days AFTER the rental was back in their possession,.so Iโm currently fighting some serious charges and GEICO STILL HASNT PAID ME FOR MY LOSS!!!! Idk how to go about getting the $$ they owe me
.. call them? Itโs not that hard. Maybe they denied your claim or theyโre missing Paperwork Their employees are so over worked they canโt babysit every customer. Just call Jesus
Every time I call them they turn me down like they are trying to run away from my claim rights. I know I have a strong case since November 2021. GEICO been lying about everything and hiding away all of the proof of my vehicle accident being totaled by the other party. They just aim to not want to pay but, they are fast to collect our monthly dues. HOW DO I PROCEED WITH MY CLAIM IF GEICO ALWAYS HIDES PROOF OF EVIDENCE THAT IVE ATTACHED. INCLUDING THE FULL POLICE REPORT TO HOW MY CAR WAS TOTALLED?? Can someone or anyone please help me proceed with my rights for my claim to continue to win?????
GEICO insurance is ridiculous. I have never had an accident or speeding ticket, yet they keep increasing my insurance. I think all insurance companies should punish the actual people that are doing wrong, instead of the innocent ones.
I had Geico for 23 years in the ARMY. When I got out service. I had made a monthly payment, was pending in my bank account. But before it cleared my bank, all my credit cards was hacked. So I replaced them called Geico told them what happened, that I need to make my payment. I was told, I had to make the full six months payment ( which was $3000). So they canceled my account.
Agreed
To high fees for car insurance.
My car and I just purchased my BMW 3 1/2 months prior to the accident, but the police, which was a relative of the person that hit me and the judge and the fire department and said that I tailgated him when I was never behind him, he was coming through the light he ran over the medium and everything while I was at the stop sign and my whole driver side, and my front driver side bumper was damaged completely in my car went to flames with my child and my dog in there
I was rear ended July 21 of 2022 my vehicle flew 200 feet from the incident. The guy that hit me said that it was my fault, Geico sided with him & my insurance paid for his vehicle as well as mine.. I didnโt receive a citation nor did he, July 2 2024 Geico overturned the ruling making me 0% liable. My premium went from $1200 to $4000 Geico isnโt trying to reimburse me.