‘Nobody would know that they do this’: State Farm refused to pay to repair this Florida man’s Porsche — and he’s not alone. Why the courts are now involved

Why State Farm denied the claim

The issue with Sasson’s claim came down to cost. The damage to his vehicle was extensive and included having to replace parts of its charging mechanism.

When he brought it to Porsche, he was told if he didn’t get the repairs done through one of their approved certified facilities, the warranty on his $100,000 car would be voided.

That seemed fairly simple, but State Farm took issue with how much that would cost. According to their own estimates, the total should have been closer to $6,267.03.

Sasson opted to pay out of pocket to get the repairs done right. But the experience didn’t sit right with him.

“I’m not paying cheap insurance,” Sasson told WPLG Local 10. “I’m paying very high insurance. And I have insurance with State Farm — which is a strong insurance company.”

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Widespread issue over labor costs

Sasson took his grievance to Daren Stabinski and Cristina Pierson, two Fort Lauderdale attorneys. After some digging, Stabinski and Pierson say it appears State Farm may have unrealistic expectations about the work involved in repairing high-end vehicles — and Sasson is just one of the car owners they’ve let down.

“We have spoken to dozens of State Farm insured [people] in Florida, Illinois, Ohio, Georgia,” Pierson told WPLG. “We have gotten so many calls, and it’s all the same story.”

And so they’ve launched two class-action suits, one in Florida and the other in Georgia, claiming State Farm uniformly rejects repair estimates that exceed $4,700 per claim — when the market rate for luxury cars is often double that.

That’s because mechanics who work on luxury or “technologically advanced” cars like Sasson’s, Pierson explains, require specific training and knowledge — and that labor comes at a price, which State Farm apparently doesn’t factor in.

One example listed in the Georgia class-action is that the prevailing going-rate for a Maserati-certified facility to perform paint labor is $105/hour. Yet, “State Farm has uniformly rejected” repair estimates that exceed $55/hour. “They pay the same whether it is a Pinto or a Porsche — they pay the same hourly rate,” Stabinski told WPLG.

Protecting yourself

The issue, Pierson says, seems to be with State Farm specifically. But still, she’d encourage all drivers to call up their insurers to confirm they’re fully covered in any type of situation.

“I would have them immediately call their agent and broker and make sure what they believe they have purchased is actually true,” said Pierson. “If I get into a collision, where am I going to be able to take my car, and what will you pay?”

“Nobody would know that they do this,” added Stabinkski.

If you’re not happy with the answer from your insurer, it may be time to shop around for better coverage. Experts suggest reviewing your policy every six months. If it’s been a while since you’ve gone back to your agreement, there’s a chance you could be overpaying for your policy.

To ensure you’re getting the best deal, make sure you’re shopping around and comparing quotes. The Insurance Information Institute also provides drivers with plenty of resources on choosing a provider.