Progressive County Mutual Insurance Company has agreed to an $8 million class action settlement to resolve allegations that it failed to make certain personal injury protection (PIP) payments within the deadlines required by Texas law. The proposed settlement could provide cash compensation to policyholders whose covered medical bills were paid late without all applicable statutory remedies.
The agreement stems from Koetter, et al. v. Progressive County Mutual Insurance Company, a lawsuit brought by Brian Koetter and Elyssa Parven. The plaintiffs allege that the insurer violated the Texas Prompt Payment of Claims Act and other provisions of the Texas Insurance Code.
Eligible policyholders must submit their claims by January 19, 2027. Payments are not automatic, and the amount each person receives will depend on the insurance company’s records and the timing of individual medical bill payments.
Although Progressive has agreed to settle, it denies wrongdoing. The court has not determined that the company violated Texas law. A final approval hearing is scheduled for December 17, 2026.
What Is the Progressive County Mutual PIP Settlement About?
The case concerns how Progressive handled medical bills submitted under personal injury protection coverage in Texas automobile insurance policies.
PIP coverage helps pay certain medical expenses and other qualifying losses resulting from automobile accidents, subject to the policy’s terms and coverage limits. It generally provides benefits without requiring an injured insured to prove that another driver caused the accident.
However, Texas law also establishes deadlines and requirements for handling insurance claims. The plaintiffs allege that Progressive processed or paid certain eligible medical bills after the applicable statutory deadlines. They further claim that the company did not provide all the additional payments required when those deadlines were missed.
The lawsuit focuses on the timing of covered medical bill payments rather than allegations that Progressive denied every affected medical claim. Progressive disputes the accusations. The proposed settlement is intended to resolve the litigation without continuing through a contested trial.
Who Is Eligible for the $8 Million Progressive Settlement?
The settlement covers eligible individuals whose claims were processed under Texas-based Progressive County Mutual automobile insurance policies. The settlement administrator identifies two qualifying groups.
15-Day Class: Individuals for whom Progressive paid a covered PIP medical bill line item and issued an Explanation of Benefits (EOB) more than 15 business days after receiving the bill.
30-Day Class: Individuals for whom Progressive paid a covered PIP medical bill line item and issued an EOB more than 30 calendar days after receiving the bill.
For both groups, the EOB must have a print date between August 30, 2016, and June 1, 2026. An individual may qualify under both groups if the same medical bill line item meets both timing requirements.
The settlement does not cover every Progressive customer nationwide. Eligibility depends on a qualifying Texas PIP claim and the specific payment records. Certain company officials, the presiding judge and attorneys involved in the case are also excluded.
How Much Will Eligible Policyholders Receive?
The settlement does not offer a fixed payment of $50, $100 or another standard amount. Compensation is calculated separately using the allowed amount of each qualifying medical bill line item and the length of the delay.
For the 15-Day Class, payments include annual interest of 11.452% for the applicable delay period. For the 30-Day Class, the formula provides a payment equal to 5% of the allowed medical bill amount, plus annual interest of 11.452% for the applicable delay period. When a bill qualifies under both groups, the administrator calculates the appropriate amounts for distinct periods without duplicating interest for the same days.
For example, the settlement agreement states that a qualifying $1,000 medical bill with 30 days of delay beyond the initial 30-day period would generate a payment of $59.41 before any applicable adjustment.
Actual payments may be higher or lower depending on individual billing records. Claimants do not need to calculate the interest themselves.
How Is the $8 Million Settlement Fund Divided?
The advertised $8 million figure represents the maximum combined amount for class-member payments and attorneys’ fees, rather than a single fund distributed equally among policyholders.
Under the agreement, up to $6 million is available for eligible class-member claims. Attorneys may request up to $2 million in fees and litigation expenses. Those legal fees do not reduce the $6 million class-relief cap.
Administrative costs, capped at $500,000, and court-approved service awards for the two class representatives are treated separately. If approved claims exceed the $6 million cap, payments will be reduced proportionately.
How to File a Progressive County Mutual Settlement Claim
Eligible consumers must submit an online claim through the official administrator at TravisCountyPIPSettlement.com. The form asks claimants to identify themselves, provide information associated with the affected policy and select an available payment method.
The form may request a claim identification number from the settlement notice. Individuals without that number can instead supply the Progressive policy or claim number associated with the qualifying PIP bill. The name and contact information must match Progressive’s available records.
The administrator uses the insurer’s billing data to identify eligible medical bills and calculate the amount owed. No separate interest calculation is required from the claimant.
Digital payment options may include PayPal or Zelle. A mailed check may be selected when the anticipated payment exceeds $5. Filing is online only, and the January 19, 2027 deadline must be met.
The official settlement administrator is Verita Global. Consumers who need help can call 888-808-4386.
Important Settlement Deadlines
The deadline to request exclusion from the settlement is November 12, 2026. The deadline to object to the proposed agreement is also November 12, 2026. An objection allows a class member to challenge the settlement while remaining in the class; opting out preserves the right to pursue a separate lawsuit concerning the released claims but makes the person ineligible for settlement payment.
The final approval hearing is scheduled for December 17, 2026, at 9:00 a.m. in the 419th Judicial District Court of Travis County, Texas. The claim submission deadline is January 19, 2027.
Those who do nothing will receive no payment. Unless they properly exclude themselves, however, they will generally remain bound by the settlement’s release of covered claims if the agreement becomes final.
When Will Progressive Settlement Payments Be Sent?
No confirmed payment distribution date has been announced as of October 15, 2026. Before compensation can be distributed, the court must grant final approval and any appeals must be resolved.
The administrator will then review submitted claims, resolve eligibility issues and calculate payment amounts. Under the settlement agreement, claimants whose information cannot be matched with Progressive’s records may receive a notice giving them 30 days to correct the problem.
The agreement establishes timelines for payment after the settlement becomes effective and approved claims are finalized. Those provisions do not guarantee that checks or digital payments will arrive immediately after the December hearing.
What Should Former Progressive Policyholders Know?
Consumers do not need to be current Progressive customers to qualify. The relevant question is whether their earlier Texas PIP claim meets the class definition. A postcard or email notice indicates that the insurer’s records identified the recipient as a possible class member.
Anyone who believes an old PIP payment qualifies should review the official notice, retain their claim or policy number when possible, and submit only accurate information. Those seeking to opt out or object should carefully follow the separate written-notice instructions on the administrator’s website.
Latest Status of the Progressive County Mutual Settlement
As of October 15, 2026, Koetter, et al. v. Progressive County Mutual Insurance Company, Cause No. D-1-GN-18-005132, is a proposed settlement pending final court approval in the 419th Judicial District Court of Travis County, Texas.
The claims portal is open, but the settlement has not yet produced an approved consumer payout. Eligible policyholders who want compensation must file by January 19, 2027.
The case highlights the financial consequences of insurance-payment delays and the importance of statutory deadlines. Its practical effect for consumers will depend on how many valid claims are submitted, the administrator’s calculations and the court’s final decision.
