$1.95M Farmers Insurance Settlement Ends Lawsuit Over Alleged Billing Limitations on Minnesota Insureds’ Auto Coverage

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A $1.95 million settlement has been reached to resolve a class action lawsuit that alleged several Farmers Insurance entities illegally imposed secret billing limitations on no-fault auto coverage by entering into contracts with health care providers that restrict treatment options available to insureds in Minnesota following an accident.

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The court-approved website for the Farmers Insurance class action settlement can be found at FarmersInsuranceMinnesotaClassAction.com.

The Farmers class action settlement, which received preliminary court approval on March 31, 2025, covers all individuals or entities that purchased or renewed an auto insurance policy between January 17, 2013 and September 13, 2023 in Minnesota from Farmers Group, Inc.; Truck Insurance Exchange; Farmers Insurance Company, Inc.; Farmers Insurance Exchange; Illinois Farmers Insurance Company or Mid-Century Insurance Company that provided for medical expense benefits under the state’s No-Fault Automobile Insurance Act.

Eligible class members who submit a valid claim form online or by mail by June 20, 2025 are entitled to receive a pro-rated Farmers settlement cash payout.

You can file a Farmers settlement claim form online on this page. If you prefer to submit a claim by mail, you may contact the settlement administrator to request a paper copy to complete and return.

To file a claim form, you will need your unique ID and PIN, which can be found on the settlement notice you should have received by mail or email.

The $1,950,000 settlement fund, after the payment of administrative costs, attorneys’ fees, service awards and certain other expenses, will be allocated to eligible class members based on the amount each individual paid for insurance coverage under a qualifying policy, the settlement agreement says.

In addition, as part of the settlement, the insurance companies have agreed to disclose to the Minnesota Department of Commerce that they have no-bill agreements with certain health care providers and may, in future, enter into such agreements, the Farmers settlement website shares.

It is now up to the court to decide whether to grant final approval to the terms of the settlement at a hearing set for August 19, 2025. Class action settlement payments will be issued to eligible class members only if the deal is ultimately approved, and after any appeals or other reviews are resolved, the website adds.

The Farmers Insurance class action lawsuit claimed that under the allegedly unlawful contracts, certain medical providers effectively agreed not to treat any person eligible for coverage under a policy issued by the insurers. These billing limitations, which were concealed from policyholders and the public, unfairly restricted insureds’ ability to use the policy benefits they were entitled to at the health care provider of their choice, the case alleged.

Did you know that some class action settlements require no proof to submit a claim? Check out the latest open class action settlements.