Wednesday, June 15, 2011

Did Safeco Tell Insureds It Was Slashing Their Policy Limits?

Usually I don't write about the lawsuits I handle, to protect clients' privacy.  Right now, however, I'm handling a lawsuit that deals with the rights of thousands -- tens of thousands?  hundreds of thousands? -- of consumers, and I'm both the lawyer and the client, so it's okay.

The lawsuit is against Safeco Insurance Company for bad faith and unfair competition concerning a homeowners policy. 

There's an important hearing this week on a motion.  The issue is whether Safeco violated California law by failing to give its insureds conspicuous, plain and clear notice that the company was slashing coverage for certain types of covered claims from hundreds of thousands of dollars down to just $10,000 total.  Good luck re-building your house with $10,000.

Safeco's practice, in my opinion, is like selling empty fire extinguishers:  most customers will never even discover they have been cheated; only the few who wind up needing protection find they've been sold something empty and useless.

Anyhow, to read all about it, and see how the Court rules, visit my new website:  SafecoLitigation.com.

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