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Allstate Insurance Class Action Settlement Of Homeowners Insurance Structural Loss General Contractor’s Overhead & Profit Lawsuit

A class action settlement involving Allstate homeowners insurance may provide payments to those who qualify.

A class action settlement has been reached with Allstate Insurance Company, Allstate Indemnity Company, Allstate Property and Casualty Insurance Company, Allstate Fire and Casualty Insurance Company, Allstate County Mutual Insurance Company, Allstate Texas Lloyd’s, Inc., Castle Key Insurance Company, Castle Key Indemnity Company, Allstate Floridian Insurance Company, Allstate Floridian Indemnity Company, Allstate New Jersey Insurance Company, Encompass Indemnity Company, Encompass Insurance Company, Encompass Insurance Company of America, Encompass Property and Casualty Company, Encompass Independent Insurance Company, Encompass Home and Auto Insurance Company, Encompass Insurance Company of New Jersey, Encompass Insurance Company of Massachusetts, Encompass Floridian Indemnity, Encompass Floridian Insurance Company, Encompass Property & Casualty Insurance Company of New Jersey, Allstate New Jersey Property & Casualty Insurance Company, and North Light Specialty Insurance Company (collectively “Allstate Insurance” or “Allstate”) in a class action lawsuit in the Circuit Court of Miller County, Arkansas (styled Feely and Beeson v. Allstate County Mutual Insurance Company, Class Action Case No. CV-2004-294-3A) alleging, among other things, that Allstate did not properly pay general contractor’s overhead and profit (“GCO&P”) (i.e., an amount that may be charged by a general contractor for, among other things, supervising, scheduling, and coordinating work and/or materials supplied by subcontractors in the course of repairing damage to a building or structure) when adjusting claims for Structural Losses (i.e., physical damage to a home, mobile or manufactured home, condo, farm/ranch or rental dwelling in the United States except in Ohio or Pennsylvania) while covered by a Homeowners Insurance policy issued by Allstate under Homeowners Insurance policies, according to the Allstate Insurance Homeowners Insurance Structural Loss General Contractor’s Overhead & Profit Claims class action lawsuit settlement notice.

The Allstate Insurance Homeowners Insurance Structural Loss General Contractor’s Overhead & Profit Claims class action lawsuit settlement reportedly provides that Allstate will pay to compensate eligible Class members (who timely submit valid claim forms) for Allstate’s alleged failure to include an appropriate amount for GCO&P when it paid certain Homeowners Insurance claims for Structural Losses. Payments to eligible Class members may reportedly be between 10% to 17.5% of the amount previously paid by Allstate to class members to complete the repairs, depending on the method by which the estimate was generated, excluding amounts paid for emergency remediation services, debris removal, licensed professionals, and any specialty contractor overhead and profit or GCO&P previously paid by Allstate.

The Allstate class action settlement also requires that, for a period of at least two years, Allstate engage in certain claim practices and make certain disclosures designed to help ensure that GCO&P is paid when appropriate. Allstate will reportedly provide additional training and software prompts to claims adjusters to remind Allstate’s adjusters to consider including GCO&P on Allstate estimates. Allstate will also reportedly provide additional disclosures to its policyholders in the future providing them with information on GCO&P.

The Allstate Insurance Homeowners Insurance Structural Loss General Contractor’s Overhead & Profit Claims class reportedly includes everyone, unless otherwise excluded, who is, or was, insured under an Allstate Homeowners Insurance policy that provided coverage for any building or other structure located in the United States (except in Ohio or Pennsylvania) and submitted a claim for a Covered Loss.  A Covered Loss is a Structural Loss that reportedly:

• occurred between September 6, 1996 and December 6, 2010, inclusive;
• was determined to be covered by a Homeowners Insurance policy issued by Allstate; and
• resulted in a payment by Allstate between September 6, 1996 and December 6, 2010.

For more information on the Allstate Insurance Homeowners Insurance Structural Loss General Contractor’s Overhead & Profit Claims class action settlement, visit the Feely v. Allstate settlement website:

www.feelysettlement.com

If You Have Thoughts On The Allstate Insurance Structural Loss General Contractor’s Overhead & Profit Homeowners Insurance Claims Class Action Lawsuit Settlement, Share Your Settlement Comments Below.

{ 4 comments… add one }
  • marlene ahimaz June 3, 2011, 4:00 pm

    allstate, lobbies in springfield, il. for a special inclusion is the contract with homeowners. the contract includes a special condition for repairing damages on homes. it states that if the repair is not completed within 60 days of the accident, the the former coverage (that damages will be paid at replacement costs will be converted to depreciated value.)
    we had paid for the superior policy in this home for twenty years. but when we had a claim, which they refused to pay promptly, they policy converted to the lower value policy. when there is extensive damage, retired individuals do not have idle cash available to pay for this themselves. incidently, the president has been quoted as saying that he is in the business of denying claims….thus, lower costs and higher profits.

  • Rosa Jagosz - LOS ANGELES CA June 23, 2011, 5:12 am

    My husband and I own several properties insured by Allstate We qualify for Homeowners Insurance Structural Loss General Contractor’s Overhead & Profit Compensation, but WE DID NOT RECEIVE THE
    FORMS. I called and we are in Allstate list. They said the form WERE
    MAILED. May be they did BUT WE DID NOT RECEIVED IT !!
    We receive often, letters to our number address pero with other street’s name. I imagine our letters may be wrongly delivered. I believe we should be sent new forms in spite the dead line has passed.
    OUR CLAIMS AMOUNT TO SEVERAL THOUSAND DOLLARS-
    THIS IS A PLEAD TO ALLSTATE TO BE FAIR !

  • Roger Poe October 19, 2011, 4:09 pm

    Allstate supporters have not learned from the latest class action suit to stop cheating their clients. They still pretend that insured repair work to a structure needs a certain repair complexity before a policyholder is entitled to hire a general contractor.

    All legitimate general contractors, builders, project managers and other similar construction professionals probably understand that projects requiring single trade work are fair market game to pursue, and have their own inherent logistical complexities, by nature.

    Allstate supporters appear to try to force their clients to act as a professional general contractor even though they have pre-paid for one by their monthly premium payments.

    By charging consumers for a general contractor to replace their home, up to the limit-of-liability, and then pretending a general contractor is not “necessary” for providing single trade work repairs, is a end run around attempt to keep money that is owed others.

    To Allstate supporters, and other similar carriers;

    Question – How do your insurance agents figure out replacement factors and costs of a structure without the anticipated involvement of a general contractor?

    Question – Since a general contractor is necessarily factored into the insurance premiums homeowners pay, why do you pretend that a general contractor is not “necessary” for insured single trade work?

    Question – Why do you have to advertise your business so much? Are you in financial trouble because of past and present treatment of consumers that have led to class actions?

    Question – Has a contractor and/or consumer ever sued you for defamation, deceptive trade practice, or unfair market conduct?

    Please stop undermining the public’s confidence and trust in others.

    rogerpoegc@gmail.com

  • Greg Morales July 17, 2012, 5:18 pm

    I, too, like Rosa above did not receive any mail referenced this lawsuit. However, a friend that is an ALLSTATE agent made me aware soon thereafter and immediately filed a copy of the form that I printed from the web. It was processed shortly after the June 6th date. I called several times and write many times to the website only to be told they will not pay. I am suggesting acquiring an attorney as to which they agreeded.
    I believe it’s typical of ALLSTATE, I was an insured customer for years but when its time to collect due Huricane Katrina they stated to me they ran out of money. I dropped them, no more.

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