Los Angeles

$1.1M Settlement Reached in Alliance United Insurance Lawsuit

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Published on October 25, 2023
$1.1M Settlement Reached in Alliance United Insurance LawsuitSource: Unsplash/ Wesley Tingey

Yesterday, The Alliance United Insurance Company, which primarily services lower-income and under-represented communities in California by providing auto and casualty insurance services, agreed to a settlement of a substantial $1.1 million. The Ventura County District Attorney's Office revealed that the company was settling a multi-jurisdictional civil lawsuit based on claims of unfair business practices.

Accused of failing to investigate properly auto collision claims and delaying timely response to claims received, Alliance United also allegedly did not follow the stipulated legal time allotted for making coverage decisions. District Attorney Erik Nasarenko criticized the company, stating that it failed its customers while restating their intent to hold insurance providers accountable for fair and timely services.

The Ventura County District Attorney's Consumer and Environmental Protection Unit, in collaboration with the Los Angeles District Attorney's Office Consumer Protection Division and the California Department of Insurance, initiated this case's investigation and enforcement.