Appellate Court Upholds $27M Penalty for Mercury Insurance

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By Staff Reports, MYNEWSLA.COM

May 7, 2019

Appellate Court Upholds $27M Penalty for Mercury Insurance

Fourth District Court of Appeal justices Tuesday overturned an Orange County Superior Court judge’s ruling striking down $27 million in penalties imposed by former Insurance Commissioner Dave Jones against Mercury Insurance for broker fees he found were improperly added to rates.

“After over a decade of battling against Mercury’s aggressive litigation tactics seeking to evade accountability for its deceitful broker fee overcharges, today justice has finally prevailed and the $27 million civil penalty Mercury must pay the state should send a strong message to Mercury and other insurers that they can’t get around the law,” said Pam Pressley, an attorney for Consumer Watchdog, which intervened in the lawsuit filed by Mercury to overturn the Insurance Commissioner’s penalty.

Mercury officials did not immediately respond to a message seeking comment on the ruling.

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