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Louisiana sues State Farm for endangering motorists with cheap auto repairs

State Farm Auto Insurance endangers the lives of its policyholders by effectively forcing auto body and repair shops to perform repairs as cheaply and quickly as possible, the Louisiana Attorney General’s office alleges in a lawsuit. According to the lawsuit, filed August 19 in a Baton Rouge federal court, State Farm repeatedly broke state laws against unfair trade practices and monopolies by directing consumers to preferred repair shops or “direct repair facilities.” The repair shops are then effectively forced to conform to insurance estimates by using cheap, imitation, and used parts “rather than in accordance with consumer safety and vehicle ... Read More