Consumers who filed a Missouri homeowner’s insurance claim for structural damage between June 5, 2012, and August 12, 2025, in which Auto Club Family Insurance Co. withheld certain depreciation amounts may be eligible for a cash payment from a class action settlement.
Auto Club Family Insurance Co. agreed to settle a lawsuit alleging it improperly deducted nonmaterial depreciation—such as labor costs—when adjusting some structural damage claims.
Who Is Eligible to File a Claim?
To qualify, individuals must meet all of the following requirements:
- Filed an insurance claim for structural damage to property located in Missouri
- The damage occurred on or after June 5, 2012
- The claim was made under a Missouri homeowner’s insurance policy issued by Auto Club Family Insurance Co.
- Auto Club paid the claim and withheld nonmaterial depreciation (for example, labor costs)
- Auto Club used Xactimate or similar computerized estimating software to process the claim
- The claim was submitted between June 5, 2012, and August 12, 2025
Additional notes:
- Claims that would have resulted in payment but fell below the deductible solely because of withheld nonmaterial depreciation are included.
- Individuals with multiple qualifying claims may need to file a separate claim form for each.
- Those who did not receive a notice may still qualify if they meet the criteria.
Who Is Excluded?
- Policyholders whose ACV payments exhausted policy limits
- Policyholders whose claims were denied or abandoned without an ACV payment (unless the only reason was depreciation withholding dropping the loss below the deductible)
- Policyholders whose claims did not involve a computerized estimate (such as Xactimate)
How Much Can Class Members Receive?
Eligible class members may receive:
If they have not recovered the full amount of withheld nonmaterial depreciation:
- 100% of the unrecovered depreciation
- Plus 5% interest per year from the date the ACV payment was issued until final approval
If they have already recovered all previously withheld nonmaterial depreciation:
A flat payment based on the total nonmaterial depreciation amount:
- $25 for $1–$40,000 in withheld depreciation
- $50 for $40,001–$80,000
- $75 for more than $80,000
How to File a Claim
Class members can:
Claim deadline: January 19, 2026
Mailing address:
Lyman Settlement Claims
c/o RG/2 Claims Administration
P.O. Box 59479
Philadelphia, PA 19102-9479
Required Documentation
To file online, class members must enter the notice ID provided in their mailed notice. Those who did not receive a notice but believe they qualify should contact the settlement administrator at 1-866-742-4955 or info@rg2claims.com.
All claimants must provide:
- Claim number
- Date of loss
- Policy number
(These may appear prefilled for those who received a notice.)
Payment Method
The settlement administrator will send payments by paper check.
Settlement Fund Breakdown
The settlement fund covers:
- Settlement administration costs: To be determined
- Attorneys’ fees and costs: Up to $399,000
- Service award to class representative: Up to $5,000
- Payments to class members: Remaining funds
Important Dates
- Exclusion request deadline: November 6, 2025
- Fairness hearing: December 9, 2025
- Claim filing deadline: January 19, 2026
When Will Payments Be Sent?
If the court grants final approval and no appeals delay the process, payments will be mailed within 30 days after the claims administration process is completed.
Why the Settlement Was Reached
The lawsuit alleged Auto Club Family Insurance Co. improperly deducted depreciation for labor and other nonmaterial items in violation of Missouri law. Auto Club denied wrongdoing but agreed to settle to avoid continued litigation.
