A Korean American couple in their 80s has won a legal battle against California Automobile Insurance Company (CAIC), securing a $463,075 payout after nearly three years of litigation over delayed insurance payments.
On April 28, a Los Angeles County Superior Court jury ruled in favor of Park Dal-Ung (80) and Park Seung-Ran (76), ordering CAIC to compensate them for both repair costs and emotional distress related to water damage in their Northridge home.
Leak damages home, triggers legal action
According to court filings, the couple discovered a water leak beneath the concrete floor of their home in January 2022 and promptly filed a claim. Despite holding a homeowner’s policy since December 2021—which included coverage for full repair costs and temporary housing—CAIC allegedly delayed payment through repeated appraisals, staff changes, and lack of communication.
By June 2022, the couple sued the insurer for failing to cover the necessary repairs, stating that CAIC only provided $4,000 per month for temporary housing, instead of addressing the structural damage.
Medical needs ignored, couple forced into inadequate housing
The plaintiffs emphasized that Mr. Park, who suffers from traumatic brain injury and stroke aftereffects, requires accessible living conditions due to limited mobility and cognitive challenges. However, CAIC allegedly failed to account for these needs, forcing the couple to stay for an extended period in unsuitable environments such as a two-story home belonging to their son and local motels.
They argued that the prolonged stay in these inadequate spaces caused significant physical and emotional hardship, ultimately worsening Mr. Park’s mental and physical health.
Jury finds insurer in breach of contract
During the trial, the jury reviewed whether CAIC had fulfilled its contractual responsibilities given the couple’s circumstances. The final verdict concluded that CAIC had failed to meet its obligations, and awarded the couple $463,075 in total damages.
CAIC maintained throughout the trial that it had met all responsibilities and covered appropriate costs, but the jury rejected this defense.
Broader concerns about delayed payouts and discrimination
The case reflects a growing trend of lawsuits against insurance providers accused of deliberately delaying or denying claims, especially involving elderly individuals, people with disabilities, and those with limited English proficiency. Advocates say these groups face systemic challenges in obtaining fair treatment from insurers.
BY BRIAN CHOI [ichoi@koreadaily.com]
