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Insurer sues adjusting co.

December 17, 2002

21st Century Insurance alleges false claims were filed in connection with 1994 Northridge earthquake

Inman News Features

21st Century Insurance has filed a civil complaint against California-based Unlimited Adjusting Co. and its principal Jung Ho Park.

The suit alleges Unlimited and Park illegally persuaded homeowners into filing additional unnecessary and fraudulent claims with 21st Century stemming from the 1994 Northridge earthquake.

The company is ultimately seeking up to $10 million in compensatory damages, plus punitive damages.

The lawsuit, filed in the Orange County Superior Court of California yesterday, alleges Unlimited and Park solicited homeowners in the area affected by the Northridge earthquake and prepared false and fraudulent reports that indicated damage was more extensive than it was or that it existed where it did not.

21st has referred nearly 100 cases of potential fraud related to Northridge earthquake claims, including claims submitted by Unlimited, to the California Department of Insurance.

Copyright: Inman News Service

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