Plaintiff's premiums rose by more than 91% after first at-fault accident
Car insurer GEICO is facing a class-action lawsuit alleging it doesn't honor its accident-forgiveness policy, which promises to not raise a customer's premiums after theirfirst at-fault accident.
The lawsuit, filed Feb. 25 in Texas, alleges GEICO unlawfully disguises premium increases after the first at-fault accident as "surcharges" or other terms,ClassAction.org reports.
The lawsuit said it represents aDallas resident, Christoper Cude, who alleged he got a policy-renewal notice one month after his wife got into a minor fender-bender accident, which was the first she was at faultfor.
The plaintiff's premium rose to $2,663 from$1,392, an increase of more than 91%, after he was told by GEICO they had "merely applied a surcharge,"the lawsuit said.
GEICO didn't immediately respond to ConsumerAffairs's request for comment.
The lawsuit aims to represent any Texas residents insured by GEICO whose premiums rose after their first at-fault car accident.
Lawyers from Steckler Wayne & Love Law are handling the case and can be reached atThis email address is being protected from spambots. You need JavaScript enabled to view it., This email address is being protected from spambots. You need JavaScript enabled to view it. and This email address is being protected from spambots. You need JavaScript enabled to view it..
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Posted: 2025-03-03 23:45:51