Insurance Talk July/August 2025

LYNX v. State Farm Suit

Though the deadline for LYNX Services to file redacted versions of some currently sealed court documents in its case against State Farm and Safelite Group has passed, as of press time, LYNX has yet to do so.

The third-party administrator (TPA) owned by Solera filed suit against State Farm and Safelite two business days before State Farm switched from LYNX to Safelite Solutions as its TPA. LYNX alleged State Farm was sharing the TPA’s trade secrets and other “confidential information” with Safelite Group and requested a temporary restraining order (TRO) to stop the switch.

The U.S. District Court of Central Illinois, Peoria Division, denied the TRO in a June 30 closed hearing, and State Farm began working with Safelite Solutions as planned.

LYNX filed the suit under seal to protect trade secrets. Judge Jonathan Hawley initially ordered the TPA to re-file the same documents with the confidential information redacted by July 21, according to court records, and later extended that deadline to August 11. The judge also ordered LYNX to file a motion to request redactions to the June 30 hearing transcript by the same date.

LYNX filed that motion on August 11 under seal and attached 23 sealed supporting documents. LYNX has not yet filed a redacted version of its complaint, according to court records.

Cutting Insurance to Save a Dime

Auto glass shops may be getting fewer customers with auto glass coverage. A recent study by a small insurer says consumers are “downgrading or canceling” their car insurance to save money.

According to Raleigh, North Carolina-based Guardian Service, 24% of Americans underinsured their homes or cars in the past year to save money for unexpected bills, unemployment or missed debt repayments. Guardian Service says consumers cut car insurance more frequently than any other insurance.

The study says about 15% of Americans reported downgrading their auto insurance, and 8% switched to “liability only” coverage, which doesn’t cover auto glass or collision repairs.

Guardian Service says the average monthly cost of car insurance is $189, a little more than that of home insurance, $169. Despite rising prices and willingness to cut coverage, Guardian Service says 77% of Americans still consider car insurance necessary.

Progressive’s Appeal Denied

Progressive Insurance recently lost an appeal in a lawsuit over alleged underpayment for totaled used vehicles. The lawsuit will continue as a class action suit.

Several Progressive policyholders filed the suit in April 2022 at the Cuyahoga County Court of Common Pleas in Ohio. According to legal documents, the plaintiffs claimed that the insurer “thumbed the scale” when paying for the loss of a totaled used vehicle.

The plaintiffs say their Progressive policies require the insurer to pay the “actual cash value” of their used cars. Progressive used valuation reports from Mitchell, an Enlyte Company, to determine payouts, according to court records. Plaintiffs claimed that Mitchell’s data was based on “projected sold adjustments” and not an accurate reflection of the actual value of their used cars.

The Cuyahoga County Court granted the suit class-action status on August 15, 2024. Progressive appealed that decision, but the Eighth Appellate District Court for the County of Cuyahoga upheld the lower court’s decision on July 10, 2025. The appellate court said it found “no abuse of discretion” in the trial court’s decision to grant class action status and the trial court should continue with a class action suit.

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