Prosecutors in Ventura and Los Angeles Counties say they’ve reached a settlement with an insurance company over allegations it failed to properly deal with auto insurance claims.
The investigation involved the Allied United Insurance Company.
Prosecutors say that in some cases, the company failed to properly investigate insurance claims, or to respond to claims promptly.
They say while the company didn’t admit to wrongdoing, it’s agreed to add additional steps to make sure that claims are dealt with properly. It will also change policies to make sure coverage decisions are made within legal timeframes as required by law.
Alliance United will also pay $1.1 million in civil penalties, and to reimburse both counties for investigative costs.
