$8.82M State Farm UMPD insurance class action settlement

State Farm Mutual Automobile Insurance Co. agreed to pay more than $8.8 million to resolve claims that it failed to fully pay Washington policyholders for the diminished value of their vehicles under their underinsured motorist property damage (UMPD) coverage.

The State Farm settlement benefits Washington insureds of State Farm Mutual Automobile Insurance who received payment under their UMPD coverage for property damage to their insured vehicles for accidents that occurred between Jan. 13, 2019, and Feb. 27, 2026, and whose vehicle repair estimate, including any supplements, totaled at least $1,000; whose vehicle was no more than six years old (model year plus five years) and had fewer than 90,000 miles on it at the time of the accident; and whose vehicle suffered structural (frame) damage, deformed sheet metal and/or required body or paint work.

Individuals whose claims involved a leased vehicle, a vehicle declared a total loss or was involved in an accident outside of the stipulated class period are not included in the settlement.

According to the class action lawsuit, State Farm failed to pay or adequately pay for losses under its Washington UMPD coverage, in breach of its automobile insurance contracts.

State Farm, one of the largest auto insurers in the United States, has not admitted any wrongdoing but agreed to pay an $8.8 million class action settlement to resolve the UMPD coverage lawsuit.

Under the terms of the State Farm settlement, class members who submit a valid claim form will receive a payment based on their vehicle repair costs. Each payment will be calculated as a pro rata share of the net settlement fund, based on the class member’s repair cost relative to the total repair costs of all class members.

The average payment is estimated to be approximately $625 per class member. Payments will be reduced by the amount of any diminished value payment the class member previously received from State Farm.

Class members with more than one qualifying accident must submit a separate claim form for each accident to receive a payment for each.

The deadline for exclusion and objection was Sept. 30, 2026.

The final approval hearing for the State Farm settlement is scheduled for Oct. 30, 2026.

To receive class action settlement benefits, class members must submit a valid claim form by Dec. 14, 2026.

Who’s Eligible

The State Farm class action settlement benefits Washington insureds of State Farm Mutual Automobile Insurance who received payment under their UMPD coverage for property damage to their insured vehicles for accidents that occurred between Jan. 13, 2019, and Feb. 27, 2026, and whose vehicle repair estimate, including any supplements, totaled at least $1,000; whose vehicle was no more than six years old (model year plus five years) and had fewer than 90,000 miles on it at the time of the accident; and whose vehicle suffered structural (frame) damage, deformed sheet metal and/or required body or paint work.

Potential Award

An estimated $625 average payment

Proof of Purchase

N/A

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

12/14/2026

Case Name

Hardy v. State Farm Mutual Automobile Insurance Co., Case No. 2:25-cv-00072-RSM, in the U.S. District Court for the Western District of Washington

Final Hearing

10/30/2026

Settlement Website

WashingtonUMPDSettlement.com

Claims Administrator

Hardy v. State Farm Mutual Automobile Insurance Co.
c/o Kroll Settlement Administration LLC
P.O. Box 225391
New York, NY 10150-5391
833-930-0261

Class Counsel

Stephen M. Hansen
LAW OFFICES OF STEPHEN M. HANSEN P.S.

Scott P. Nealey
NEALEY LAW

Defense Counsel

Tiffany Powers
David Carpenter
Melissa Quintana
ALSTON & BIRD LLP