Preliminary $2.5M Settlement Reached in Allstate Motor Vehicle Insurance Class Action

This is a settlement for the Allstate Insurance Company lawsuit.

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San Francisco, CA: A proposed settlement has been reached which would resolve an insurance lawsuit alleging Allstate Insurance Company and Allstate Indenmity Company (collectively "Allstate") sent their motor vehicle insureds deceptive motor vehicle insurance renewal bills in order to induce Allstate' insureds to pay their renewal premium in full a month before the were premiums were actually due.

The settlement would avoid costs and risks to you from continuing the lawsuit, would pay money to you if you are a class member, and would release Allstate from liability. The Court has given its preliminary approval to the Settlement, and has ordered that a Notice be sent to all Settlement Class Members. If you have received a Notice, Allstate' records indicate you are a member of the class.

Under the terms of the settlement a sum of $2,727,555 would be provided to pay for claims to those class memers who submit valid claims. The payment amount will consist of 30 days of interest at an annual rate of 7 percent simple interest on the payments of the stated "pay in full"amounts that you made on or before the "due date"indicated on the bill.

There has been no judicial decision as to whether Allstate did anything wrong, and the two sides disagree on how much money, if any, could have been awarded had plaintiff won at trial.

The judge presiding over this case has deemed that everyone who fits this decscription is a class member: all Allstste California motor vehicle insureds who from January 1, 2002 through December 31, 2005 received Allstate motor vehicle insurance renewal bills indicating a "due date"for payment approximately one month before the date the policy was to renew, and who paid the stated "pay in full"amount on or before the "due date"on the bill.

If you are a member of the class you have the following choices:

SUBMIT A CLAIM FORM BY JULY 3, 2012. The only way to get a payment.

ASK TO BE EXCLUDED BY MAY 19, 2012. Get out of the lawsuit. Get no benefits from it. Keep your legal rights. If you ask to be excluded, you cannot receive any payment under the settlement. But, you keep any rights to sue Allstate about the same legal claims in this lawsuit.

OBJECT BY MAY 19, 2012. Write to the Court about why you don't like the settlement.

DO NOTHING. Get no payment. Give up rights.

To be eligible to receive payment you must complete a claim form which must be completed and mailed with a postmark no later than July 3, 2012. A court hearing to approve or not the settlement and its terms will be held on July 9, 2012. Copies of forms and further details can be found at

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