Shamis & Gentile P.A.
Licensed in California, Florida, Georgia, New York & Texas
Office Location: 14 N.E. 1st Ave., Ste. 705, Miami, FL 33132
Texas Leased Vehicle: Who’s Affected?
Do you have a leased vehicle in Texas with Geico insurance?
Did your leased vehicle suffer a total loss accident?
If your motorcycle or car insurance provider covered the value of your totaled car or motorcycle but NOT the sales tax and other fees, your policy may have been violated.
Insurance companies may not be reimbursing their policyholders for the full value of their totaled car, according to recent consumer allegations.
Total loss class action lawsuits filed against insurance providers claim that the companies violate their own contracts by failing to reimburse policyholders for sales tax, title transfer fees, tag transfer fees, and more after a total loss car accident.
Consumers taking action against insurance companies argue that they are owed hundreds to thousands of dollars.
In Ohio federal court, two recent lawsuits against GEICO and Grange Indemnity Insurance Company were won by plaintiffs who claimed a breach in contract and breach of auto insurance policies by their insurance companies following the total loss of their vehicles.
In the video below listen to Top Class Action’s Scott Hardy discuss insurance companies not reimbursing customers for sales tax and other fees after a total loss accident.
Overview: Total Loss Vehicle
Following a car accident, an insurance adjuster investigates the crash and the damage to the vehicle to make a determination regarding reimbursement.
The insurance company will determine that the event qualifies as a total loss accident under the following circumstances:
- If the vehicle cannot be safely repaired
- If the vehicle repairs are going to cost more than the value of the vehicle
- If the damage exceeds the damage threshold for your state. (In some states the car is totaled if the damage is 50 percent of the pre-accident value all the way to 100 percent.)
What happens next depends on individual policies and insurance companies, but policyholders are often offered the fair market value of the vehicle based on the state of the vehicle before the accident occurred.
Read more: What Is a Car Total Loss?
Total Loss Vehicle Payout
The payout you receive from your insurance company is typically based on the Actual Cash Value of the vehicle. This looks at how much you could have sold your vehicle for right before the total loss accident happened.
Actual Cash Value is based on the following variables:
- Vehicle year
- Vehicle make
- Vehicle model
- Physical wear and tear
- Condition of interior
- Condition of tires
In 41 states in the country, your insurance company is also supposed to cover the sales tax and fees for title and registration: Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Illinois, Indiana, Kansas, Kentucky, Louisiana, Maine, Maryland, Michigan, Minnesota, Mississippi, Missouri, Nebraska, Nevada, New Jersey, New York, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Puerto Rico, South Carolina, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, and Wisconsin.
Read more: How to Determine Total Loss of a Vehicle
Insurance Total Loss Class Action Lawsuits
Several insurance companies have been hit with total loss class action lawsuits for failing to cover the taxes and other fees when calculating the total loss of the vehicle.
One insurance company that has faced total loss lawsuits is GEICO. These lawsuits allege that the insurance company fails to pay costs associated with a total loss accident including sales tax and title transfer fees.
Plaintiffs claim that costs such as sales tax and title transfer fees are included in GEICO insurance policies and that failure to pay these costs is a breach of contract.
The total loss class action lawsuits argue that sales tax and other fees “are components of ‘actual cash value’ under the policy.”
Policyholders argue that costs such as sales tax and title fees are mandatory when purchasing or leasing a replacement vehicle to replace a total loss vehicle.
Sales tax varies depending on each state but can be hundreds to thousands of dollars. Adding fees to this total means that the lack of reimbursement can cause significant financial strain on policyholders.
For example, the GEICO policyholder who filed an insurance total loss class action lawsuit in Florida was forced to pay a minimum of $75.25 to transfer her title and 6 percent of the replacement car’s value in sales tax. The total was around $1,500.
An Ohio woman filed a total loss lawsuit against Permanent General Assurance after her car was totaled in a car total loss accident in March 2018, but the insurance company allegedly short-changed her by failing to pay for the sales tax in the payout she received.
Join a Free Total Loss Accident Car Insurance Lawsuit Investigation
If you call under the following qualifications following a total loss car accident, you may be eligible to join this investigation:
- You suffered an accident that left you with a totaled leased vehicle or motorcycle
- Your insurance company—NOT the insurance company of the other driver involved—paid for the total loss accident
- Your insurance company agreed to cover the cost of your totaled car or motorcycle but did NOT reimburse for sales tax and other fees
- The accident took place within the last 5 years
If you were not compensated for any of the above taxes or fees by your auto insurance company after experiencing a total loss accident in the last 5 years, you may qualify to join a FREE Total Loss Accident class action lawsuit investigation.
Fill out the form on this page for a free case evaluation.
Get Help – It’s Free
Free Total Loss Accident Car Insurance Lawsuit Case Evaluation
If you qualify, an attorney will contact you to discuss the details of your potential case at no charge to you.
PLEASE NOTE: If you want to participate in this investigation, it is imperative that you reply to the law firm if they call or email you. Failing to do so may result in you not getting signed up as a client or getting you dropped as a client.
E-mail any problems with this form to:
After you fill out the form, the attorneys who work with Top Class Actions will contact you if you qualify to let you know if an individual lawsuit or class action lawsuit is best for you.
The choice of a lawyer is an important decision and should not be based solely on advertisements.
The attorney responsible for the content of this page is Andrew Shamis at:
Shamis & Gentile P.A.
Licensed in Florida, New York, & Texas
Office Location: 14 N.E. 1st Ave., Ste. 705, Miami, FL 33132
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