Policyholders who held a personal or commercial property insurance policy with West Bend Mutual Insurance Co. and made a structural loss claim in certain states may be eligible for a cash payment from a class action settlement.
West Bend Mutual Insurance Co. agreed to settle a lawsuit alleging it improperly deducted nonmaterial depreciation from some structural loss claims.
Who Is Eligible?
Class members must meet all of the following requirements:
- Held a personal or commercial property insurance policy issued by West Bend Mutual Insurance Co.
- Submitted a structural loss claim for property located in Illinois, Kentucky, Missouri, Ohio, Tennessee, Virginia, or Wisconsin during the applicable class period
- Had their actual cash value (ACV) payment determined with an Xactimate estimate
- Received an ACV payment from which nonmaterial depreciation was withheld, or would have received an ACV payment but the withholding reduced the loss below the deductible
Class periods:
- Illinois, Kentucky, Ohio, Tennessee, Virginia, Wisconsin: Losses dated March 29, 2020 – June 30, 2022
- Missouri: Losses dated March 29, 2012 – June 30, 2022
Definitions:
- Nonmaterial depreciation: Depreciation of labor, overhead and profit, and other nonmaterial items (excluding sales tax), as calculated in Xactimate
- Structural loss: Physical damage to a home or other structure covered by a West Bend property insurance policy in the class states
Who Is Excluded?
- Policyholders with policies that explicitly allow nonmaterial depreciation
- Those whose ACV payments exhausted policy limits
- Those whose claims were denied or abandoned for reasons unrelated to nonmaterial depreciation
- Policyholders whose claims did not involve an Xactimate estimate
How Much Can Class Members Receive?
Payments depend on the policy’s state and whether nonmaterial depreciation was paid later.
For Illinois, Kentucky, Missouri, Ohio, Tennessee:
- 100% of withheld nonmaterial depreciation (if not previously paid)
- Plus 5% simple interest per year from the date of the final ACV payment through July 1, 2025
For Virginia and Wisconsin:
- 80% of withheld nonmaterial depreciation
- Plus 5% simple interest per year from the date of the final ACV payment through July 1, 2025
If West Bend later paid the nonmaterial depreciation, settlement payments follow this fixed schedule:
- $1–$5,000.99 withheld: $25
- $5,001–$10,000.99: $50
- $10,001–$20,000.99: $100
- $20,001–$40,000.99: $200
- $40,001–$60,000.99: $300
- $60,001–$80,000: $400
- More than $80,000: $500
How to File a Claim
Class members must submit a claim online or by mailing a completed PDF form by February 6, 2026.
Mailing address:
No Joke Depreciation Settlement Administrator
P.O. Box 5988
Portland, OR 97228-5988
Additional notes:
- A separate claim form is required for each covered loss.
Required Documentation
- Policyholder and claim information
- Unique ID and PIN from the official settlement notice (for online filing)
- Legal authorization documents if filing on behalf of another person
- Assignment contract if the claim was transferred to another party
Payment Method
Payments will be issued by mailed check.
Settlement Fund Breakdown
- Settlement administration costs: To be determined
- Attorneys’ fees and expenses: Up to $1,392,500
- Service award: Up to $7,500
- Payments to class members: Not reduced by other settlement costs
Important Dates
- Exclusion deadline: December 8, 2025
- Final approval hearing: January 7, 2026
- Claim filing deadline: February 6, 2026
When Will Payments Be Sent?
Payments will be mailed after the settlement receives final court approval and any appeals are resolved.
Why This Settlement Exists
The lawsuit alleged that West Bend Mutual Insurance Co. improperly deducted nonmaterial depreciation—such as labor and overhead—from structural loss insurance claims in certain states, reducing ACV payments below the proper amount.
West Bend denies wrongdoing but agreed to settle to avoid ongoing litigation costs and risks.
