$6.5M Liberty Mutual and Safeco UIM coverage class action settlement

Liberty Mutual and Safeco agreed to a $6.5 million class action lawsuit settlement to resolve claims that they failed to properly advise New Mexico policyholders that any amounts payable on an underinsured motorist claim are required by law to be reduced by amounts the insured received from the insurer of the driver at fault in the accident.

The Liberty Mutual settlement benefits Safeco policyholders and insureds who purchased or otherwise paid a premium for a New Mexico insurance policy that included uninsured/underinsured motorist (UM/UIM) coverage and/or who made a claim for UIM benefits under a New Mexico insurance policy that did not include the disclosure and exclusion required by Crutcher and had benefits reduced or denied due to a Schmick offset between Oct. 1, 2010, and March 31, 2022.

The settlement also benefits an offset subclass of class members who submitted a claim for underinsured motorist coverage benefits for a motor vehicle accident occurring between Oct. 10, 2010, and March 31, 2022, whose underinsured motorist benefits were offset by amounts paid by the insurer of the person liable for the motor vehicle accident.

Liberty Mutual and Safeco are insurance companies that offer a variety of insurance products, including auto insurance. Safeco is a Liberty Mutual company.

According to a class action lawsuit against Liberty Mutual and Safeco, the companies failed to properly advise New Mexico policyholders that any amounts payable on an underinsured motorist claim are required by law to be reduced by amounts the insured received from the insurer of the driver at fault in the accident.

Plaintiffs in the case say that the companies’ actions violate New Mexico’s Unfair Trade Practices Act and breach their auto insurance policy contracts.

Liberty Mutual and Safeco have not admitted any wrongdoing but agreed to a $6.5 million class action settlement to resolve the allegations.

Under the terms of the Liberty Mutual settlement, class members can receive either a direct premium refund or an offset subclass payment.

Class members who purchased UM/UIM motorist coverage between Oct. 1, 2010, and March 31, 2022, will receive a direct premium refund payment. No claim form is required to receive this benefit.

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 March 31, 2022, can receive an offset subclass payment of up to $25,000. A claim form is required to receive this benefit.

The deadline for exclusion and objection is April 15, 2026.

The final approval hearing for the Liberty Mutual car insurance settlement is scheduled for June 2, 2026.

The deadline to submit a claim form is April 30, 2026.

Who’s Eligible

All Safeco policyholders and insureds between Oct. 1, 2010, and March 31, 2022, who purchased or paid premiums for a New Mexico insurance policy with UM/UIM coverage or who made a UIM claim after Oct. 1, 2010, under a policy that lacked the disclosure and exclusion required by Crutcher and had benefits reduced or denied due to a Schmick offset.

For the offset subclass, members who submitted UIM claims for motor vehicle accidents occurring between Oct. 10, 2010, and March 31, 2022, whose benefits were reduced by amounts paid by the liable driver’s insurer.

Potential Award

Up to $25,000

Proof of Purchase

Insurance claim form

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

04/30/2026

Case Name

Crutcher v. Liberty Mutual Insurance Co., et al., Case No. 18-cv-00412 JCH-LF, in the United States District Court for the District of New Mexico

Final Hearing

06/02/2026

Settlement Website

CrutcherUIMSettlement.com

Claims Administrator

Crutcher v. Liberty Mutual Insurance Company, et al.
Settlement Administrator
P.O. Box 5338
Portland, OR 97228-5338
[email protected]
877-684-5777

Class Counsel

Kedar Bhasker
KEDAR BHASKER

Geoffrey Romero
ROMERO HARADA & WINTERS

Corbin Hildebrandt
CORBIN HILDEBRANDT P.C.

Defense Counsel

Rodger L. Eckelberry
Kevin P. Zimmerman
BAKER & HOSTETLER LLP

Meena H. Allen
ALLEN LAW FIRM LLC