Is Progressie insurance being sued?

Question

I heard there is a class action law-suit against Progressive for charging to much insurance and using the money for other things then needed for! Is this true? And how can I find out if I benefit from it?

Answer 1

Yes its true below is a Link that explains the class action suit. You should have received a letter like i did if your involved.
there are two different ways you are part of claim,
Sub-Class A: Current and Former policyholders where policyholders would have received a lower premium rate from Progressive or would not have had a policy cancelled but for the information contained in a Consumer Report and the Policy inception date for the Current/Former policyholder occurred between January 1, 1997 –December 1, 2004;
Sub-Class B: all quotation recipients whose credit history information was received by Progressive in connection with the process of obtaining a no obligation quotation, from January 1, 1997 through June 6, 2006
A Class Member must submit a claim on the website by August 30, 2006. Class Members may also mail their claims to the Settlement Administrator, postmarked no later than August 30, 2006. A claiming Class Member must provide his or her first and last name, middle initial, signature, current address, former address(es) for the past 2 years, social security number, telephone number, date of birth, and (if known) the policy number of the Policy. If you already submitted a timely claim in response to the first proposed Settlement Class Action in 2004, you do not have to submit another claim for settlement benefits, however, if your address has changed in the last two years, you must notify the Settlement Administrator of your new address in writing.


In order to obtain a free credit report and any other applicable Settlement Relief, Class Members must timely mail a written Claim Form to the Class Administrator or submit the claim electronically through this Website. If you made a claim for the benefits in response to the first proposed class action settlement notice published in 2004, you do not need to make another claim to participate in the settlement benefits provided in this amended proposed class action settlement.

THE MONEY PART OF IT!!!!
If you are a current policyholder, Experian will notify Progressive of any Class Members who have amended their free credit reports. At that point, Progressive will use the corrected report to determine if there is a difference in the premiums. If the corrected report results in a reduction in premiums, then the policyholder will be notified of the correction and Progressive will apply a credit. Should the policyholder choose to renew the policy with Progressive in the future, the renewal premium will also be calculated using the corrected information. If you are a former policyholder, you may be entitled to a payment of between $75 and $225 as set forth in the Amended Settlement Agreement.
i. one Policy Term, the total payment to the
Correction Participant shall be $75;
ii. two Policy Terms, the total payment to the
Correction Participant shall be $150;
iii. more than two Policy Terms, the total payment to
the Correction Participant shall be $225.

I have been a part of class actions suits before and i can tell you it may not be a huge amount but you do get some and its worth filling out if your eligible.

Answer 2

I also received the letter. I went to the website www.FCRANoticesettlement.com this site wants a lot more information that the mail in letter, so I am just going to do the snail mail do not like the idea of SS number on anything I send out. The mail in form requires DOB and phone number and that's it!! the rest of it they should already know. Yes, I am mailing it in. Will be waiting a long time before receiving any money I think. This is the reason we dropped progressive the rates were way, way too high. Stayed with them over 3 years.

Answer 3

I have received the settlement claim form as well. And I am debating to join or abstain. Tough call - I was always impressed by Progressive's customer service, but their rates were higher.

Is progressive really at fault here? Court will probably find the legal answer, but what about ethically? Was this a minor over-sight on Progressive's part, or was it a planned illegal strategy move?

Hate the fact that lawyers make money off of this, while margin's at Corporate America shrink further.

HOW CAN WE FIND OUT WHAT'S REALLY GOING ON HERE

Answer 4

I've used Progressive for the past 4 years. I have always received superior service from them. I changed to that company because Peter Lewis, the former CEO, donates mega-bucks to Marijuana policy reform issues.

Having said that, I've never liked the idea that my car insurance rates were set, not by my driving record, which is spotless, but by a credit report that was ruined several years ago by a divorce.

I agree that Progressive is getting off light, but I'd be satisfied if they would just adjust my rates now.

Answer 5

Progressive walked all over their customers' rights and they're getting away with a hand-slap. The plaintiff bent over on behalf of the class and now their laughing all the way to the bank. Experian credit reports are worthless and you'll be lucky if you can activate the credit reporting service without setting up a payment arrangement. It's a screwy deal any way you look at it.

Answer 6

Even if you were to be a class member in this suit, the likelihood that you would get any money beyond a couple of bucks (while the lawyers for the named plaintiffs walk off with millions in legal fees) is slim to none.

Answer 7

Yes, it is true. Write to:

Progressive FCRA Settlement
c/o The Garden City Group, Inc.
PO Box 9000 #6242
Merrick, NY 11566-9000

Do it fast, though, since your claim form must be postmarked no later than August 30, 2006.

Answer 8

It is true IF you get any money it will be very little the lawyers will get millions and progressive will raise rates to cover their loss

Answer 9

So, JoeSchmoe and Johnman, would you rather give your pittance back to Progressive? Or to the attorneys? I'll take mine, no matter how small, and go see a movie, or whatever...

Answer 10

can I benefit from this class action law-suit?