Parry Deering Futscher & Sparks is currently working on cases involving issues regarding auto insurance policies. Parry Deering Futscher & Sparks is focused on stopping fraudulent practices by auto insurance companies and recouping losses for victimized policy owners. Parry Deering Futscher & Sparks has brought class actions on behalf of policy owners based on improper practices, which include the use of imitation parts, and insurers refusal to pay for procedures necessary to return a damaged vehicle to its pre-loss condition. These practices often violate the terms of the company’s insurance policy contract and its other legal obligations to its policy owners.

Imitation parts are parts not manufactured by the original equipment manufacturer ("OEM parts"). Imitation parts are of substantially inferior quality with respect to fit, corrosion protection and general construction as has been determined by several studies. In addition to being inferior quality to OEM parts, imitation parts are not covered by factory transferrable warranties on replacement parts. The installation of such imitation parts voids the manufacturer’s warranty not on just the replacement part but also on adjacent parts and systems. In fact, some imitation parts may compromise the supplemental restraint systems and other safety features on a vehicle.

Various auto insurance companies will only pay for imitation parts or will only write an estimate based upon the use of imitation parts thereby reducing the amount of the total estimate and the quality of the repairs. The company’s use of imitation parts is a violation of its obligation to pay the cost of repairing a damaged vehicle to its pre-loss condition. The effect of the auto insurance company’s practices is that the cost of repairing its policy owners’ vehicles is routinely understated and therefore does not return a damaged vehicle to its pre-loss condition and may compromise safety.

Certain repair procedures are necessary to return a damaged vehicle to its pre-loss condition. Various auto insurance companies systematically omit necessary materials, procedures and/or parts. This lack of necessary repairs is a violation of the insurance company’s obligation to repair a damaged to vehicle to its pre-loss condition.

As a result of auto insurance companies’ practices, policy owners are not paid a sufficient amount to restore their damaged vehicle to its pre-loss condition, contrary to the terms of most standard auto insurance policies. Policy owners therefore sustain a loss due to the company’s failure to pay what it is contractually required to pay.

It is the obligation of an automobile insurance company to pay the amount necessary to repair the insured automobile to its pre-loss condition.