Progressive $1.77M UM/UIM Coverage Class Action Settlement

New Mexico Progressive customers who purchased or paid for stacked uninsured/underinsured motorist coverage on a single vehicle between Jan. 1, 2009, and April 30, 2025, may be eligible to claim a cash payment from a class action settlement.

Progressive Northern Insurance Co. and related insurers agreed to pay $1,765,606.13 to settle a class action lawsuit alleging it charged higher premiums for stacked UM/UIM coverage on single-vehicle policies. The plaintiffs claimed this provided no additional benefit and violated New Mexico law.

Who can file a claim?

Class members must meet all of the following criteria:

• They resided in New Mexico at any point between Jan. 1, 2009, and April 30, 2025.
• They purchased or paid for an insurance policy from one of the Progressive companies listed in the settlement (including Progressive Northern Insurance Co., Progressive Advanced Insurance Co., Progressive Casualty Insurance Co. and others)
• Their policy included stacked UM/UIM coverage while insuring only a single covered vehicle, including automobiles, motorcycles or recreational vehicles.

There are two main groups of class members with different eligibility periods and claim processes:

• Automatic payments group:
• Includes those who purchased or paid for stacked UM/UIM coverage on a single vehicle from May 10, 2018, to April 30, 2025
• These members will receive automatic payments, if eligible, based on the difference between what they paid for stacked coverage and what they would have paid for unstacked coverage.

• Other payments group:
• Includes those who purchased or paid for stacked UM/UIM coverage on a single vehicle from Jan. 1, 2009, to May 9, 2018
• These members must submit a claim to receive payment.
• The total payout for this group is limited to between $37,000 and $75,000.

The settlement includes both named insureds and anyone who paid premiums for a qualifying Progressive policy.

How much can class members get?

The amount each class member receives depends on their group and the premiums they paid for stacked versus unstacked UM/UIM coverage:

• Automatic payments group:
• Eligible members will receive the difference between what they paid for stacked UM/UIM coverage on a single vehicle and what they would have paid for unstacked coverage.
• If the calculated payment is $10 or more, they will automatically receive a check or can select a different payment method.
• If the payment is less than $10, they must select a payment method within 90 days or forfeit it.

• Other payments group:
• Members must submit a claim.
• The total pool for this group is between $37,000 and $75,000.
• Each member can receive up to 100% of the difference in premiums paid for stacked versus unstacked coverage, but the actual amount may be less depending on the number of claims.

The settlement administrator will donate any unclaimed or forfeited funds to Equal Access to Justice Inc., subject to court approval.

How to claim a settlement payment

• Individuals in the automatic payments group who are eligible for $10 or more do not need to take any action to receive a check by mail. However, they may update their address or select a different payment method (PayPal, Venmo, Zelle or EpiqPay) on the settlement website.
• Individuals in the other payments group must submit a claim form by Feb. 26, 2026. They can submit the online claim form or download, print and complete the PDF claim form and mail it to the settlement administrator.

Settlement administrator's mailing address: Epiq, P.O. Box 3339, Portland, OR 97208-3339

Members who are entitled to less than $10 must select a payment method within 90 days of the notice date or forfeit the payment.

What proof or documentation required to submit a claim?

• To file an online claim, claimants must provide the unique ID and PIN from the settlement notice they received.
• Claimants must attest to their eligibility.

Payout options

• PayPal
• Venmo
• Zelle
• EpiqPay (if available)
• Paper check

$1.77 million settlement fund breakdown

The $1,765,606.13 settlement fund covers:

• Settlement administration costs: To be determined
• Attorneys' fees, costs and taxes: Up to $977,609.04
• Service award to class representative: Up to $20,000
• Payments to eligible class members: Remainder of the fund

Important dates

• Opt-out deadline: Jan. 12, 2026
• Final approval hearing: Feb. 23, 2026
• Deadline to file a claim: Feb. 26, 2026
• Payment election deadline: Feb. 26, 2026

When is the Peck v. Progressive payout date?

The settlement administrator will distribute payments to eligible class members approximately 45 days after the court resolves any appeals and grants final approval to the settlement.

Why is there a class action settlement?

The class action lawsuit alleged that Progressive charged higher premiums for stacked UM/UIM coverage on single-vehicle policies, which plaintiffs argued provided no real benefit and violated New Mexico law.

Progressive denied wrongdoing but agreed to settle to avoid further litigation costs and risks. As part of the settlement, Progressive also agreed to stop selling stacked UM/UIM coverage on single-vehicle policies in New Mexico.

Sources

1. Class notice
2. Settlement FAQ
3. Claim form
4. Settlement agreement