The Progressive class action Colorado settlement has moved into the claims stage, giving certain Colorado policyholders an opportunity to seek compensation over alleged underpayments on total-loss auto claims. The proposed settlement resolves litigation accusing Progressive Direct Insurance Company and Progressive Preferred Insurance Company of reducing vehicle valuations through a “Projected Sold Adjustment,” or PSA, used in Mitchell valuation reports. Progressive denies wrongdoing, and the court has not yet granted final approval.
Under the proposed agreement, about $15.24 million in PSA impact amounts is available to the settlement classes. Eligible class members who submit valid claims can receive 68% of the applicable PSA Impact Amount tied to their totaled vehicle. The deadline to submit a claim is February 5, 2027, while the deadline to exclude yourself from or object to the settlement is November 5, 2026. A final fairness hearing is scheduled for January 6, 2027 in the U.S. District Court for the District of Colorado.
What Is the Progressive Class Action Colorado Settlement About?
The litigation centers on how Progressive calculated the actual cash value of vehicles declared a total loss. In Curran, et al. v. Progressive Direct Insurance Company, et al., the plaintiffs alleged that Progressive used valuation reports prepared with data from Mitchell International and that those reports applied Projected Sold Adjustments to comparable vehicles. According to the plaintiffs, the adjustments reduced the values assigned to comparable vehicles and, in turn, lowered the amount paid on certain total-loss claims.
The plaintiffs asserted claims including breach of contract and breach of the covenant of good faith and fair dealing. Their theory was not that every part of Progressive’s total-loss valuation process was improper. The challenged practice focused specifically on the use of the Projected Sold Adjustment. Progressive has disputed the allegations and has not admitted liability, fault, or wrongdoing by agreeing to the proposed settlement.
How the Colorado Total-Loss Case Developed
The case began in federal court in Colorado in April 2022. In December 2023, the court certified a class involving certain Colorado Progressive Direct policyholders whose total-loss payments were based on Mitchell Instant Valuation Reports that applied a Projected Sold Adjustment. The litigation later expanded to include a Progressive Preferred settlement class.
Rather than continue through further litigation and the risks of trial, the parties negotiated a proposed class settlement. The settlement now covers qualifying total-loss claims through July 8, 2026. The court has given preliminary approval, which allows notice and the claims process to proceed, but final approval still depends on the court’s review at the fairness stage.
Who May Qualify for the Progressive Settlement?
The proposed settlement contains two principal groups. The Progressive Direct Class generally includes people who made first-party property-damage claims under personal automobile insurance policies issued by Progressive Direct Insurance Company to Colorado residents, where the claim was submitted from April 12, 2019 through July 8, 2026, the vehicle was determined to be a total loss, and the payment was based on a Mitchell Instant Report that applied a Projected Sold Adjustment to at least one comparable vehicle.
The Progressive Preferred Class generally covers comparable first-party total-loss claims under personal auto policies issued by Progressive Preferred Insurance Company to Colorado residents, with claims submitted from December 19, 2021 through July 8, 2026, where a Mitchell Instant Report applied a Projected Sold Adjustment to at least one comparable vehicle.
Being a Progressive customer by itself is not enough. Eligibility depends on the specific insurer, the relevant dates, the type of claim, the total-loss determination, and whether the valuation report contained the challenged adjustment.
How Much Money Could Class Members Receive?
The settlement does not provide one flat payment for every claimant. Instead, payment is tied to the actual cash value of the totaled vehicle and the settlement’s PSA formula. Progressive will pay qualifying claimants 68% of the defined PSA Impact Amount.
For members of the Progressive Direct Class, the PSA Impact Amount is defined as 2.75% of the actual cash value recorded for the vehicle. For members of the Progressive Preferred Class, it is 2.25% of the recorded actual cash value. The claimant then receives 68% of that amount.
For example, a Progressive Direct claimant with a vehicle actual cash value of $20,000 would have a PSA Impact Amount of $550. Sixty-eight percent of that figure is $374. A Progressive Preferred claimant with the same $20,000 vehicle value would have a PSA Impact Amount of $450, producing a settlement payment of $306 after applying the 68% formula. These examples are illustrations only; an individual’s payment depends on the value recorded for the qualifying total-loss claim.
Approximately $15.24 Million Is Available to the Classes
The parties estimate that the total PSA Impact Amount available to be claimed is approximately $15,240,887. This figure is not a single cash fund that will simply be divided equally among everyone. The settlement is structured around individual qualifying claims and the formula stated in the agreement.
Class counsel may ask the court to approve attorneys’ fees of up to $4,572,199, representing 30% of the total amount made available to the settlement classes, as well as up to $200,000 in litigation costs. The proposed agreement also allows requests for service awards of up to $10,000 for Michael Curran and $5,000 for Andrew Rodriguez. According to the settlement information, those amounts would be paid separately by Progressive and would not reduce settlement-class payments.
How to File a Claim
A settlement class member must submit a timely and valid claim form to receive a payment. People identified through Progressive’s records may receive notice by email or postcard containing a Claimant ID, a total-loss claim number, and a unique PIN that can be used to submit a claim online.
Class members may also submit a paper claim. A claimant who does not have the necessary notice information can request a blank claim form from the settlement administrator. The identifying information supplied must match Progressive’s records sufficiently for the administrator to determine eligibility.
The settlement materials also provide a process for addressing certain incomplete or defective claims. However, class members should not rely on a later correction period when they can submit complete information before the deadline.
Progressive Settlement Claim Deadline Is February 5, 2027
The deadline to submit a claim online or have a paper claim postmarked is February 5, 2027. This is a key date because doing nothing does not produce a settlement payment. A person who remains in the settlement but fails to submit a valid claim may still be bound by the settlement’s release while receiving no payment.
Class members should therefore review any notice carefully and determine whether they want to file a claim, object, or exclude themselves. Each option has different legal consequences.
Final Approval Hearing Is Set for January 6, 2027
The court has scheduled a fairness hearing for January 6, 2027 at 10:00 a.m. in the U.S. District Court for the District of Colorado in Denver. At that hearing, the court is expected to consider whether the settlement is fair, reasonable, and adequate and whether to approve requested attorneys’ fees, costs, and service awards.
Preliminary approval is not the same as final approval. Settlement payments ordinarily cannot be distributed until the court grants final approval and any required conditions are satisfied. Appeals, if any, can also affect the timing. The current settlement materials therefore do not promise a specific payment date.
Why the Projected Sold Adjustment Became the Central Issue
Total-loss insurance disputes often turn on the method used to calculate actual cash value. Insurers may rely on valuation vendors and comparable vehicle data to estimate what a vehicle was worth immediately before the loss. Small adjustments can make a meaningful difference when applied across thousands of claims.
In this case, the plaintiffs challenged the Projected Sold Adjustment applied to comparable vehicles in Mitchell reports. They alleged that reducing comparable values through the adjustment caused Progressive to pay less than the amount required under the policies. Progressive disputed that position. The settlement resolves the dispute without requiring the court to make a final finding that Progressive’s method violated the policies or Colorado law.
What Colorado Policyholders Should Check
A Colorado driver who had a Progressive vehicle declared a total loss during the relevant periods should first determine which Progressive insurer issued the policy and whether the valuation report used a Projected Sold Adjustment. A notice from the settlement administrator is a strong indication that Progressive’s records identified the person as a potential class member, but the notice should still be reviewed carefully.
Claimants should also confirm that their contact information is current, retain a copy of any submitted claim, and avoid relying on unofficial social-media posts for deadlines or payment promises. The settlement administrator’s official materials control the claim process.
Watch for Settlement Scams
Large class settlements often attract misleading advertisements and scams. Filing a legitimate claim should not require paying a fee to a third party. Class members should be cautious about unsolicited messages asking for bank passwords, gift cards, cryptocurrency, or payment in exchange for releasing settlement funds.
People who received a notice can use the claimant information provided in that notice and the official settlement process. Any communication that creates pressure to pay money immediately should be treated with skepticism.
Final Takeaway
The Progressive class action Colorado settlement could provide compensation to eligible Colorado policyholders whose total-loss vehicle valuations included the disputed Projected Sold Adjustment. The proposed deal makes approximately $15.24 million in PSA impact amounts available, with valid claimants receiving 68% of the applicable PSA Impact Amount calculated from their vehicle’s recorded actual cash value.
The most important immediate dates are November 5, 2026 for exclusions and objections, January 6, 2027 for the scheduled fairness hearing, and February 5, 2027 for claims. Because the settlement has not yet received final approval, class members should continue to monitor the official settlement materials for any court-approved changes to the schedule or payment process. The settlement resolves disputed allegations; it is not an admission by Progressive that it violated the law or breached its policies.