Farmers Auto Insurance Rate Discrimination
Plaintiffs allege Farmers “Smart Plan” illegally restricts discounted rates to new customers only
Lieff Cabraser represents plaintiff customers of Farmers Group Insurance over claims that Farmers illegally discriminates against their existing automobile insurance customers by keeping them from getting lower rates only made available to new customers. The federal complaint alleges that Farmers is charging more to their existing customers than they are charging their new customers for the same or virtually the same insurance coverage, and keeping their most loyal, existing customers in the dark about the lower, otherwise available rates.
In December 2019, the parties announced that Judge Lee Yeakel of the Western District of Texas had given early approval to a settlement of the class action valued at $52 million that will provide compensation to the plaintiffs. The settlement grew from a series of mediation sessions with Deborah Hankinson, a former Texas Supreme Court justice. Formal approval of the settlement is expected by May of 2020.
If you are a Farmers Group auto insurance policy holder and you suspect you have been discriminated against through Farmers Group’s concealment of lower rates without any actuarial basis for such rate discrimination, we welcome the opportunity to speak with you about your resulting economic losses. There is no charge or obligation for our review of your case, and the information you provide will help us hold Farmers Group accountable for any misconduct, discrimination, or fraud against its policy holders. Please call us toll-free at 1 800 541-7358 or use the form below today.