California Personal Injury and Insurance Blog

More on Progressive

Not only does Progressive disgust me, but insurance folks in general are annoying me. Why? Because no one has come out to state the obvious: this was a disaster and is unacceptable.

After posting about this last month, I wrote to the CPCU Society and the AICPCU, groups that claim they represent the best and the brightest in the insurance industry. Heck, I am a CPCU and a member of the CPCU Society who has written for them many times. CPCUs are so proud of the designation, we have a separate code of ethics.

Apparently, the code of ethics does not include standing up and calling out a company that gives you financial backing. My CPCU Society renewal is staying in my pocket. And I am still encouraging you to drop Progressive for these tactics.

Another Contractor Sting

When you hire a contractor, make sure you do your homework. The Contractor State License Board just ran another sting in the Central Valley of California. This time they found contractors who tricked homeowners into pulling permits that relieves the contractor of any liability in their work. The important part:

"This sting targeted those who are deceitful and don't let homeowners know that they will be responsible for workers' compensation, liability insurances and other things," Melanie Bedwell, a CSLB spokesperson said.

Make sure you hire a contractor and they follow the rules, which conveniently can be found at www.cslb.ca.gov

10 Things Insurers Can Do To Keep Customers

I have recently had two clients pull their insurance from their insurer and place it with a different company. Both clients were very dissatisfied with the service they received for the payment of their cars and their medical bills. (Both ended up going with Jackie at Warren Bender & Co.)

In both situations, the insurer subsequently called to ask what they could do to keep the business. Both clients told them that the poor customer service was the reason for the cancellations. So, if the insurers want to know what to do to keep their current clients, here are a few ideas:

1. Start treating people with respect.
2. Hire adjusters with a college degree. No disrespect to those without a college degree, but handling insurance claims requires a certain skill set that people learn in college.
3. Pay claims timely.
4. Don't nickel and dime your insureds on their claims. If you owe $2,500, pay $2,500 not $2,450.
5. Make fair and reasonable offers on total losses. Why is it that my last three total losses my clients have almost doubled the offer of their own insurer? Pay the fair market value of the car, not what some company tells you it is worth.
6. Get rid of your complex phone systems. It shouldn't take me entering 25 digits to get to someone.
7. Start writing letters in plain English. (Wow, another group who could use Party of the First Part. [I wonder if I may get commissions from the publisher at some part since I think the book is so good!])
8. Don't ask what you can do AFTER someone leaves. Be proactive in keeping your customers happy.
9. Stop forcing your insureds to be sued because you don't want to settle a claim.
10. Stop hiding your tactics. In this day and age, there is enough information available that people see what you are doing. Don't hide it. Just be honest with people.

Now, I know some of these will never happen. But, some of these are common sense ideas. It would be nice to see insurers go back to trying to keep their own customers happy, at least.

Refunds from Farmers Insurance

Farmers' Insurance has agreed to refunds for its horrible "Use it or Lose it" program. A blurb:

Farmers Insurance Group has agreed to pay $3.4 million in fines and customer refunds to settle complaints that the insurer unjustly raised premiums or cancelled policies of consumers who filed claims. According to California insurance regulators who filed the complaint, Farmers routinely penalized policy holders for using their insurance for its intended purpose, an industry practice known as “use it and lose it.” Refunds are expected to be extended to approximately 6,000 customers.

Amazing. People used their insurance and then they were cancelled. You use what you pay for and then they cancel you? Simply amazing.

You can read my prior thoughts on this here.

If you think you qualify, make sure you file your claim timely.

Buy Party of the First Part

Remember when I told you about that funny new book, Party of the First Part? I didn't tell you where you can get it. But, since I have received several emails from people asking, I thought I would tell you.

The book is now available at The Billable Hour, a website run by Lisa Solomon that sells humorous lawyer gifts. If you have a friend, associate, or someone else you want to buy a law related gift or card for, check out Lisa's website. (You can probably even find something for your favorite blogger!)

Interesting New Read

If you decide you want to handle a case by yourself, and I by no means suggest it, you will get bogged down in legalese. Well, while not quite a dictionary, Party of the First Part by Adam Freedman, does give you the history of legal terms and then explains them in plain English.

I just finished reading my copy and really enjoyed the book. I highly recommend this book for anyone who is thinking about the law, handling a case or has any interest in legal terminology.