$1.2M Farmers New Mexico underinsured motorist coverage class action settlement

Farmers Direct Property & Casualty Insurance Co., formerly known as Metropolitan Direct Property and Casualty Insurance Co., agreed to a $1.2 million class action settlement to resolve claims it violated New Mexico law by misrepresenting uninsured/underinsured motorist (UM/UIM) coverage.

The Farmers settlement benefits individuals who either had an underinsured motorist claim reduced or offset by the amount paid by the at-fault driver in an accident or purchased a New Mexico automobile insurance policy containing UM/UIM coverage between Oct. 1, 2010, and Jan. 31, 2022.

The class action lawsuit claims Farmers violated New Mexico law by misrepresenting underinsured motorist coverage or failing to disclose the limitations of this coverage. The plaintiff in the case says the company applied an offset due to the insurance coverage limits of third parties responsible for injuries or property damage.

Metropolitan Direct Property and Casualty Insurance Co. is a Farmers Insurance Group company.

The company has not admitted any wrongdoing but agreed to a $1.2 million class action settlement to resolve the allegations.

Under the terms of the settlement, class members who had an underinsured motorist claim reduced or offset by the amount paid by the at-fault driver in an accident between Oct. 1, 2010, and Jan. 31, 2022, can receive up to $25,000.

The settlement also provides a return of uninsured/underinsured motorist premiums. Class members who paid premiums for this coverage between Oct. 1, 2010, and Jan. 31, 2022, and are not eligible for a claim readjustment can receive a refund of a portion of the premiums they paid during the class period.

Class members who do not exclude themselves will automatically receive a check in the mail. The amount of these checks will be based on a portion of the total uninsured/underinsured motorist premiums paid during the class period, the number of class members and other factors.

The deadline for exclusion is April 27, 2026. The deadline for objection is May 11, 2026.

The final approval hearing for the settlement is scheduled for July 1, 2026.

To receive settlement benefits, class members must submit a valid claim form by May 26, 2026.

Who’s Eligible

The class action settlement benefits those who had an underinsured motorist claim reduced or offset by the amount paid by the at-fault driver in an accident between Oct. 1, 2010, and Jan. 31, 2022, or who purchased a New Mexico automobile insurance policy containing uninsured/underinsured motorist coverage between Oct. 1, 2010, and Jan. 31, 2022.

Potential Award

Up to $25,000 for offset subclass members, while the premium refund amount varies.

Proof of Purchase

Metropolitan policy number, date of loss and claim number (if known)

Claim Form

NOTE: If you do not qualify for this settlement do NOT file a claim.

Remember: you are submitting your claim under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. If you’re unsure if you qualify, please read the FAQ section of the Settlement Administrator’s website to ensure you meet all standards (Top Class Actions is not a Settlement Administrator). If you don’t qualify for this settlement, check out our database of other open class action settlements you may be eligible for.

Claim Form Deadline

05/26/2026

Case Name

Vega v. Metropolitan Direct Property and Casualty Insurance Co., Case No. 1:22-CV-616-JB-SCY, in the United States Court for the District of New Mexico

Final Hearing

07/01/2026

Settlement Website

MetropolitanUIMSettlement.com

Claims Administrator

Vega v. Metropolitan
Settlement Administrator
P.O. Box 4196
Portland, OR 97208-4196
[email protected]
877-239-5487

Class Counsel

Kedar Bhasker
KEDAR BHASKER

Geoffrey Romero
ROMERO, HARADA & WINTERS LLC

Corbin Hildebrandt
CORBIN HILDEBRANDT P.C.

Defense Counsel

Steve Hulsman
Nicole G. True
WOMBLE BOND DICKINSON (US) LLP