Progressive $8M Delayed PIP Claims Class Action Settlement

Individuals who received personal injury protection benefits from Progressive County Mutual Insurance under a Texas auto insurance policy and for whom Progressive paid a medical bill paid more than 15 business days or 30 days after it received it between Aug. 30, 2016, and June 1, 2026, may be eligible to claim a cash payment from a class action settlement.

Progressive County Mutual Insurance agreed to pay $8 million to settle a class action lawsuit alleging it did not process and pay certain personal injury protection medical bills within the timeframes required by Texas law, specifically the Texas Prompt Payment of Claims Act and the Texas Insurance Code.

Who is eligible for a settlement payout?

Class members must meet one or both of the following criteria:

• 30-day class: Individuals who submitted a covered medical bill under their Texas-based Progressive personal injury protection policy and for whom Progressive paid and issued an explanation of benefits for a line item on that bill more than 30 days after receiving it with an EOB print date between Aug. 30, 2016, and June 1, 2026
• 15-day class: Individuals who submitted a covered medical bill under their Texas-based Progressive personal injury protection policy and for whom Progressive paid and issued an explanation of benefits for a line item on that bill more than 15 business days after receiving it with an EOB print date between Aug. 30, 2016, and June 1, 2026

If a single line item qualifies under both classes, claimants may be eligible for a cumulative payment.

How much is the class action payment?

The amount each class member can receive is based on the timing of Progressive’s payment and the allowed amount on the medical bill. The settlement uses a specific formula based on Progressive’s billing data:

• 30-day class claims: Members of this class receive a flat 5% of the allowed amount plus 11.452% annual interest for the period between the thirtieth day and the EOB print date
• 15-day class claims: Members of this class receive 11.452% annual interest based on the number of days between the fifteenth business day and the EOB print date applied to the allowed amount
• Cumulative payments: If a line item qualifies for both classes, the settlement administrator calculates the payment in two stages. First, claimants will receive 11.452% interest for the period between the fifteenth business day and the thirtieth day. Second, they will receive the flat 5 % amount plus 11.452% interest for the remaining period from the thirtieth day until the EOB print date. The total of these stages will be the final payment for that line item.

If the total amount of valid claims exceeds the $6 million class relief cap, the settlement administrator will educe each paymenproportionally so the total does not exceed this cap.

How to claim a settlement payment

To receive a payment, class members must complete and submit an online claim form. There is no PDF claim form available for download. Class members can request a paper claim form by contacting the settlement administrator.

Settlement administrator's mailing address: Koetter v. Progressive Settlement Administrator, c/o Verita Global LLC, P.O. Box 301132, Los Angeles, CA 90030-1132

Settlement administrator's phone number: 888-808-4386

The deadline to file a claim is Jan. 19, 2027.

Required information

• Class members using the online claim form must provide the unique claim number and PIN they received in their settlement notice.

Payout options

• Digital payment, such as Zelle or PayPal, as specified on the claim form
• Check mailed to the address provided for payments more than $5

$8 million settlement fund

The $8,000,000 settlement fund includes:

• Settlement administration costs: Up to $500,000
• Attorneys’ fees and costs: Up to $2,000,000
• Service awards to class representatives: Up to $10,000 each ($20,000 total)
• Payments to approved class members: Up to $6,000,000 (class relief cap)

Important dates

• Deadline to opt out: Nov. 12, 2026
• Deadline to file a claim: Jan. 19, 2027
• Final approval hearing: Dec. 17, 2026

When is the Progressive settlement payout date?

The settlement administrator will issue payments to eligible class members after the court resolves any appeals and grants final approval of the settlement.

Why did this class action settlement happen?

The class action lawsuit alleged Progressive failed to process and pay personal injury protection medical bills within the timeframes required by Texas law. The plaintiffs claimed Progressive did not pay the statutory remedies for late payments as required.

Progressive denied any wrongdoing but agreed to settle to avoid the cost and uncertainty of further litigation.

Sources

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