State Farm Sued For $5M Over 'Ambiguous' Auto Injury Policy

Law360 (June 10, 2021, 6:19 PM EDT) -- A Georgia resident has slapped State Farm Mutual Automobile Insurance Co. with a $5 million proposed class action, alleging it uses an ambiguous policy to deny as unreasonable coverage for medical expenses related to vehicle crash injuries.

Kimberly Sisia sued the Illinois-based insurer in a Georgia federal court on Wednesday, claiming it owes at least $5 million in unpaid medical expenses coverage to thousands of policyholders wrongly denied payouts.

Sisia said State Farm benefits from its unlawful practice of denying coverage on the basis that claimed medical expenses are not reasonable for necessary medical services or devices. The company denied the...

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