A Northern Illinois District Court judge has ordered a class action lawsuit to continue against State Farm by more than 20 plaintiffs over underpaid actual cash value (ACV) on total loss vehicles.
Plaintiffs allege State Farm paid out 4-11% less than what was owed by applying a discount, or “typical negotiation adjustment,” to the ACV of aggregated used vehicle internet prices similar to the ones involved in the claims. The suit calls this practice “a fraudulent scheme” and a breach of their insurance policy contracts.
