Geico Liability Issues Get Class Status in Delaware Coverage Row

Geico General Insurance Co. must face a classwide determination of liability issues in a suit alleging it systematically undervalues and denies personal injury protection claims made under Delaware auto insurance policies.

Policyholder Yvonne Green and two medical facilities that tender PIP claims, alleged Geico uses two computerized rules that uniformly analyze all such claims without regard to the underlying facts, violating Delaware law and the policy terms.

The Delaware Superior Court certified a class Aug. 27 for the limited purpose of determining whether Geico’s use of the two rules was a breach of contract or a bad faith breach of ...