A law in California prevents auto insurers from charging excessive rates and requires that rates be approved by the state Insurance Commissioner. From 1999 through 2004, Mercury’s insurance agents have charged consumers unapproved broker fees
on more than 180,000 transactions. By doing so, the auto insurance company improperly collected $27,593,562 million from consumers, California state says.
Mercury Insurance of Los Angeles has now been ordered by the California Department of Insurance to pay a fine of $27.56 million. Read more about this case.