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State Farm is sued for cheap repairs

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State Farm is sued for cheap repairsState Farm is sued for cheap repairs

State Farm is sued for cheap repairs

If you regularly pay for comprehensive insurance, you probably expect that if you’re in an accident, your car will be professionally repaired and the insurance will cover everything after paying the deductible. However, some State Farm customers with luxury vehicles claim the insurance company has tried to steer them away from certified repair shops, potentially voiding their factory warranty, all in an effort to save money.

Your car is spying on you for your insurance provider.

You may have experienced something like this before. This problem started with a man in South Florida when his 2022 Porsche Taycan was damaged in an accident, WPLG reports. Porsche told him that the luxury electric vehicle had to be repaired by a Porsche-certified repair shop or the warranty would be void.

However, State Farm reportedly had another idea and wanted him to take the car to a non-certified repair shop where the repairs would be done at a lower hourly rate. The man ended up having to pay out of pocket to get his $100,000 car repaired without voiding the warranty.

That’s when he decided to hire lawyers, who filed a lawsuit against State Farm, claiming that the insurer automatically rejects repair estimates over $4,700. That’s a problem for anyone who drives a higher-end car.

When the lawyers looked into the issue, they discovered that there were many people across the country who had similar problems with State Farm. For example, one person with a damaged Maserati contacted all of the repair shops recommended by State Farm, but none of those shops would even touch the car.

The lawyers then decided to file class action lawsuits in Florida and Georgia.

We have heard of other insurance providers trying to save money on repairs for more expensive vehicles, so this seems to be quite a problem. What the solution will be remains to be seen.

Image via WPLG/YouTube

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By Olivia

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