Progressive Premium Insurance Co. is making headlines with a settlement that will benefit numerous residents in Georgia who were allegedly paid too little on their car insurance claims. This settlement addresses claims that Progressive undervalued loss claims by using a faulty methodology, resulting in policyholders receiving less compensation than they were owed. While the company denies any wrongdoing, they have opted to settle the case by paying millions to affected individuals, with no need for claimants to provide evidence.
The Settlement Details
The settlement will be available to any Georgia resident who made a first-party claim on a vehicle based on an Instant Report from Mitchell with a Project Solid Adjustment applied to at least one comparable vehicle. This includes individuals who filed a claim under a Progressive Mountain Insurance Co. policy between October 11, 2015, and February 18, 2025, and those who made a claim under a Progressive Premier Insurance Co. of Illinois policy between June 8, 2016, and February 18, 2025.
Plaintiffs argue that Progressive’s method of calculating loss claims resulted in policyholders being paid less than they were owed. Both Progressive Mountain Insurance Co. and Progressive Premier Insurance Co. are subsidiaries of Progressive Corp., which provides insurance coverage for vehicles, homes, and businesses.
Despite not admitting any wrongdoing, Progressive has decided to settle out of court, offering a cash payment to affected individuals. The settlement is estimated to provide plaintiffs with around $173, although the exact amount will vary based on the number of participants in the settlement.
What You Need to Know About the Settlement
The good news for claimants is that no evidence is required to cash in on this settlement. Individuals who are part of the settlement will receive the payment automatically, as long as they do not choose to exclude themselves. The deadline to exclude oneself from the settlement is April 30, 2025, and the final approval hearing is set for May 15, 2025. If you don’t opt out, you’ll receive your payment without needing to submit any claim forms.
This settlement follows a growing trend of corporations settling lawsuits by compensating individuals who were allegedly wronged, without having to go through the lengthy and costly process of a trial.
Drizly Settlement: Delivery Drivers Owed Millions
In addition to Progressive’s settlement, thousands of delivery drivers are set to receive compensation from another major settlement. A $4 million payout is in store for delivery workers, who were allegedly denied tips that customers believed they were giving directly to drivers. This settlement stems from an investigation in New York, where Drizly, an alcohol delivery service owned by Uber, was accused of misleading both customers and drivers.
Between 2018 and 2023, customers using Drizly were urged to tip their delivery drivers, often with a preset 10% gratuity. However, Drizly routed these tips to store owners, who didn’t always pass the money along to the drivers. As a result, thousands of drivers were deprived of tips they were entitled to.
How to Claim the Drizly Settlement
Delivery drivers who were affected by this issue are encouraged to submit a claim by July 15, 2025, to receive their share of the $4 million settlement. This settlement is a reminder of how companies, especially those operating in the gig economy, must remain transparent about their payment processes and ensure workers are compensated fairly for their services.
Both the Progressive and Drizly settlements highlight the ongoing trend of large corporations paying millions to settle lawsuits involving underpaid workers or customers. While Progressive is settling out of court over undervalued car insurance claims, Drizly faces similar scrutiny over mishandling tips meant for delivery drivers. These settlements ensure that those affected will receive compensation, with clear deadlines and simple processes for claimants.
