Alliance United Insurance settles alleged violations of Business and Professions Code
VENTURA COUNTY, Calif. – Ventura County District Attorney Erik Nasarenko announced on Wednesday that Alliance United Insurance Company settled a multi-jurisdictional civil lawsuit that alleged the company had violated sections of the Business and Professions Code through unfair business practices.
Pursuant to a judgment issued by the Los Angeles County Superior Court on Oct. 24, 2023, Alliance United was ordered to pay $1.1 million for allegedly failing to efficiently investigate auto accident claims, respond promptly to customer insurance claims, and not making its coverage decisions in a timeframe required by law relay Ventura County District Attorney's Office.
Alliance United offers auto and casualty insurance across California and specializes in non-standard, and high-risk auto policies which means a notable share of its customers are in lower-income and under-represented communities detail the Ventura County District Attorney's Office.
Ventura County District Attorney's Office detail that although Alliance United does not admit to any wrongdoing with the settlement, the insurer will improve training for employees handling claims; increase self-audits for the next four years; and a revision for processing complaints from brokers, the California Department of Insurance, and the public via social media platforms.
“Alliance United Insurance Company let its customers down by failing to act upon and process claims in a timely manner,” said District Attorney Erik Nasarenko. “Our office is committed to holding these insurance companies accountable to ensure timely support, coverage, and fairness for those impacted by auto accidents."
