State Farm Alabama Total Loss Fees Class Action Settlement
State Farm Alabama Total Loss Fees Class Action Settlement
State Farm Mutual Automobile Insurance Company agreed to a settlement over allegations that it underpaid Alabama insureds on first-party private passenger auto total loss claims by failing to pay the full Purchasing Fees that should have accompanied the loss-of-use replacement value. Eligible Alabama policyholders and insureds with a covered total loss claim paid between November 7, 2018 and February 10, 2026 can submit a Claim Form to receive $20.50 in unpaid Purchasing Fees, with attorneys' fees and the Class Representative service award paid separately by State Farm.
Settlement type
$20.50/claim
Per-claim payments (no common fund)
Top payout
$20.50
Per eligible claimant
Claim deadline
Jul 15, 2026
70 days remaining
You may be owed money
Filing is free and takes a few minutes. Deadline: Jul 15, 2026.
Do you qualify?
You are a Class Member if ALL of the following apply:
- You were an Alabama policyholder or insured under an applicable State Farm auto policy and submitted a covered first-party private passenger auto physical damage claim that resulted in a total loss claim payment from State Farm during the period from November 7, 2018 through February 10, 2026.
- Your total loss claim payment from State Farm did not include full Purchasing Fees, defined as: (i) Alabama state sales tax of 2% exclusive of any city tax; (ii) any county sales tax amounts based on the local rate in your county; (iii) any applicable ad valorem taxes and ad valorem refund credit fees; and (iv) state, county, and city license fees, tag fees, and/or school fees.
- Excluded: Persons who properly opt out of the Settlement Class on or before May 15, 2026; State Farm and its officers, directors, employees, and corporate affiliates; counsel for the parties; the judge presiding over the case; and any insureds whose claims were already separately resolved or released.
Not sure if you qualify? Call the Settlement Administrator at (833) 319-6686, or visit AlabamaFeeSettlement.com.
What happened
Plaintiff Rochell Brent Dortch filed this class action in the Circuit Court of Montgomery County, Alabama alleging that State Farm Mutual Automobile Insurance Company breached its auto insurance policies by failing to pay full Purchasing Fees on Alabama first-party total loss claims. Purchasing Fees, as alleged, include Alabama state sales tax of 2%, applicable county sales tax, ad valorem taxes and ad valorem refund credit fees, and state, county, and city license fees, tag fees, and/or school fees that an insured would incur to replace a totaled vehicle. The Class Period runs from November 7, 2018 through February 10, 2026.
State Farm denies any fault, wrongdoing, or liability, maintains that it complied with the terms of its insurance policies and applicable law, and continues to deny all material allegations. The parties agreed to settle to avoid the cost, risk, and time of continued litigation. Under the Settlement, State Farm will pay $20.50 to each eligible Settlement Class Member who submits a valid and timely Claim Form, and will separately pay any Court-approved attorneys' fees and costs and Class Representative service award without reducing the amount available to class members.
How to file a claim
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1
Confirm you are eligible
You must have been an Alabama policyholder or insured under an applicable State Farm auto policy and submitted a covered first-party private passenger auto physical damage claim that resulted in a total loss claim payment from State Farm during the Class Period of November 7, 2018 through February 10, 2026, and that payment must not have included full Purchasing Fees.
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2
Locate your Claimant ID or claim information
If you received a Mailed Notice or Email Notice, it includes a Claimant ID Number and (for mailed notices) a pre-filled paper Claim Form. To file online you will need either your Claimant ID Number or your State Farm Claim ID together with your Policy number. The settlement payment is a flat $20.50 per eligible claimant; documentation of the underlying total loss is not required at the claim stage.
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3
File online or by mail
Submit the Claim Form online at alabamafeesettlement.com by July 15, 2026, or mail the signed paper Claim Form (postmarked by July 15, 2026) to: Dortch v. State Farm, c/o Kroll Settlement Administration LLC, P.O. Box 5324, New York, NY 10150-5324. The Settlement Agreement, Long Form Notice, and FAQ are at AlabamaFeeSettlement.com.
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4
Receive your payment
Payments are issued after the Court grants final approval at the June 15, 2026 Final Approval Hearing and any appeals are resolved. The appeal process can take a year or more. No follow-up is required once your claim is submitted, but if your address changes you must notify the Settlement Administrator so your payment can reach you.
Key dates
- May 15, 2026 Opt-out & objection deadline Upcoming
- Jul 15, 2026 Claim filing deadline Upcoming
- Jun 15, 2026 Final Fairness Hearing (9:00 a.m. CST, in person) Upcoming
- TBD after final approval Payments issued to claimants Pending
The Final Approval Hearing is scheduled for June 15, 2026 at 9:00 a.m. Central Time in Courtroom 3A of the Montgomery County Courthouse, Circuit Court of Montgomery County, Alabama. The Court may move the hearing, so check AlabamaFeeSettlement.com for updates before traveling.
Where the money is going
There is no common settlement fund. State Farm pays $20.50 per eligible Settlement Class Member who submits a valid and timely Claim Form, paid separately and on a per-claim basis. Class Counsel's request for attorneys' fees and costs of up to $261,200.00 and the Class Representative service award of up to $5,000.00 are paid separately by State Farm and do not reduce the amount available to class members.
All amounts listed above are subject to final court approval at the June 15, 2026 Final Approval Hearing. The Court may award less than the amounts requested. Per the Settlement, none of the attorneys' fees, costs, or service award reduce the $20.50 payment to any eligible class member.
Common questions
How much money will I receive?
$20.50 per eligible Settlement Class Member who submits a valid and timely Claim Form. The payment is a flat per-claimant amount intended to satisfy unpaid Purchasing Fees on a covered total loss claim. There is no common fund and no pro rata reduction; attorneys' fees, costs, and the Class Representative service award are paid separately by State Farm and do not reduce class member payments.
Do I need to submit proof of purchase?
Documentation of the underlying total loss claim is not required at the claim stage. To file online you will need either the Claimant ID Number printed on your Mailed Notice or Email Notice, or your State Farm Claim ID together with your Policy number. The Settlement Administrator and State Farm have records identifying class members based on State Farm's claim data.
What if I didn’t receive a notice?
You can still file a Claim Form even if you did not receive a direct notice, as long as you meet the eligibility requirements. Visit AlabamaFeeSettlement.com or call the Settlement Administrator at (833) 319-6686 to request a Claim Form or to confirm whether State Farm's records indicate you are a class member.
Does staying in the class affect my right to sue later?
If you do not opt out by May 15, 2026, you remain a Settlement Class Member and are bound by the Settlement and its release. That means you cannot separately sue State Farm for any claim arising from or relating to State Farm's alleged failure to pay full Purchasing Fees on your covered total loss claim, even if you do not submit a Claim Form. To opt out you must mail a written, signed exclusion request postmarked on or before May 15, 2026 to Dortch v. State Farm, c/o Kroll Settlement Administration LLC, P.O. Box 5324, New York, NY 10150-5324, including the case name, your full name, current address, phone number, and a clear statement that you wish to be excluded.
When will payments be sent out?
The Court will hold the Final Approval Hearing on June 15, 2026 at 9:00 a.m. CST in Courtroom 3A of the Montgomery County Courthouse. Payments will only be issued after the Court grants final approval and any appeals are resolved. The appeal process can take a year or more. No action is required after a valid Claim Form is submitted, just check AlabamaFeeSettlement.com for updates.
Dapeer Law, P.A.
Consumer class action attorneys based in South Florida. We track settlements so you don’t have to.
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This page is for informational purposes only and does not constitute legal advice. Dapeer Law, P.A. is not the administrator of this settlement and is not affiliated with State Farm Mutual Automobile Insurance Company, Kroll Settlement Administration LLC (the Settlement Administrator), or Class Counsel Edmund A. Normand of Normand PLLC, Christopher Hudon of Normand PLLC, and R. Brent Irby of Lyons Irby, LLC. The case is Rochell Brent Dortch v. State Farm Mutual Automobile Insurance Company, Case No. 03-CV-2024-901729.00, pending in the Circuit Court of Montgomery County, Alabama before the presiding judge of the Circuit Court of Montgomery County, Alabama. Class representatives are Rochell Brent Dortch. State Farm denies wrongdoing. This website is attorney advertising. Past results do not guarantee future outcomes.