Liberty Mutual UIM Settlement 2026 – New Mexico Drivers May Get Up to $25,000

What happened

Class period: October 1, 2010 through March 31, 2022

Liberty Mutual and its Safeco subsidiaries sold New Mexico auto insurance policies that included underinsured motorist (UIM) coverage, which is supposed to protect you when the at-fault driver's insurance does not fully cover your losses.

The lawsuit alleged that when policyholders filed UIM claims, Safeco improperly reduced or "offset" the payout by the amount the at-fault driver's insurer already paid, without giving required disclosures or offering the proper exclusion. This practice is known as a "Schmick offset" and the lawsuit says it violated New Mexico law.

Safeco denies all wrongdoing and maintains it followed the law, but agreed to a $6.5 million settlement to resolve the case rather than roll the dice at trial.

The case has been working its way through the courts since 2018, which is a long time to wait for your own insurance company to do right by you.

What you can get

Key dates

Who may qualify

• You purchased a New Mexico auto insurance policy with UM/UIM coverage between October 1, 2010, and March 31, 2022.
• You filed a UIM claim during that same period and your benefits were reduced or offset by the amount paid by the at-fault driver's insurer.
• You received a notice from the Settlement Administrator with a Unique ID and PIN, which you will need to file online.

How to file

1. If your UIM claim was offset, you must file a claim to receive the Offset Subclass Payment. If you only purchased UM/UIM coverage and never had an offset claim, skip this entirely. Your refund is automatic.
2. To file online, visit crutcheruimsettlement.com and click "Submit a Claim." You will need the Unique ID and PIN printed on the notice you received in the mail.
3. No supporting documents need to be uploaded at submission. Claims are verified directly against Safeco's records.
4. To file by mail, download the claim form from the settlement website, complete and sign it, and mail it to: Crutcher v. Liberty Mutual Insurance Company et al., Settlement Administrator, P.O. Box 5338, Portland, OR 97228-5338.
5. All claims must be submitted online or postmarked by April 30, 2026.

Proof required

• Offset Subclass claim: no document upload required at submission. You will need your Unique ID, PIN, name, mailing address, phone, email, and the date of the crash. Safeco verifies claims against its own records.
• Direct Premium Refund: no action required. Payment is automatic.

Payment timing

Settlement benefits will be distributed after the Court grants final approval at the June 2, 2026 hearing and all appeals are resolved. Updates will be posted on the settlement website.

Important links

• Official website
• Claim form
• Important dates
• FAQs
• Documents

Contact

Extra details

If you receive an Offset Subclass Payment, you will not also receive the Direct Premium Refund. The two benefits are mutually exclusive.

If total valid Offset Subclass claims exceed $2,000,000, payments will be reduced pro rata. Any leftover funds from the offset pool roll into the Direct Premium Refund Fund.

If you lost your notice or do not have your Unique ID and PIN, call the Settlement Administrator at 1-877-684-5777 for help.

You cannot both opt out and object. Opting out surrenders your right to object since the settlement would no longer affect you.

The final approval hearing will be held on June 2, 2026, at 9:30 a.m. before Judge Judith C. Herrera at the Pete V. Domenici U.S. Courthouse, 333 Lomas Blvd NW, Suite 670, Albuquerque, NM 87102.

FAQ