USAA Nonmaterial Depreciation Settlement

Settlement Structure: Claims Made

Active: Closed

Closed Settlement Statement:

According to court documents, the claim submission deadline has passed. Please contact the claims administrator if you have any questions.

Case Summary:

This settlement resolves a class action against USAA General Indemnity Company, United Services Automobile Association, USAA Casualty Insurance Company, and Garrison Property and Casualty Insurance Company. The complaint claimed the companies had improperly deducted nonmaterial depreciation when adjusting certain claims in Tennessee and Mississippi.

Docket Number:


Company: United Services Automobile Association (USAA)

Filing Deadline: October 19, 2020

Class Period: August 21, 2016 to November 1, 2017

Objection Deadline: August 3, 2020

Exclusion Deadline: August 3, 2020

Final Approval Hearing: September 4, 2020

Proof of Purchase:

You are not required to provide proof of the loss, but the claim form asks for information such as your policy number. It does ask for proof of assignment if you assigned the insurance claim to a contractor.


You may be eligible if you hold (except for those excluded) a homeowners residential property insurance policy issued by one of the defendants in this case who made (1) a structural loss claim for a covered loss for property in Tennessee of Mississippi during the applicable class period, (2) that resulted in an actual cash value payment from which nonmaterial depreciation was deducted, or that would have resulted in an actual cash value payment if the withholding of nonmaterial depreciation hadn’t caused the loss to fall below the deductible.

Different class periods have been defined for the different defendants in this case. They all fall between August 21, 2016 and November 1, 2017. For exact dates, and for persons excluded from the class, see the Notice at https://koestersettlement.com/Portals/0/Document%20Files/Koester%20v%20USAA_Notice_English.pdf?ver=2020-06-17-152609-000.

Typical Settlement Amount:

All or a portion of estimated nonmaterial depreciation withheld and not subsequently paid, plus 5% interest. Tennessee class members: 100%; Mississippi class members: 80%. If the nonmaterial depreciation was subsequently paid, plus 5% interest from the date of the payment from which the depreciation was withheld to the date it was paid.

Total Settlement Amount: Unknown

Class Representative Proposed Incentive Fee:


Law Firms:
Gilbert McWherter Scott Bobbitt PLC
Larson King
Mehr Fairbanks & Peterson Trial Lawyers PLLC

Claim Form: USAA Nonmaterial Depreciation Settlement Claim Form

Case Name: Koester, et al., v. USAA General Indemnity Company, et al.

Settlement Website: USAA Nonmaterial Depreciation Settlement Website

Claims Administrator:
Rust Consulting, Inc.

Claims Administrator Contact Information:

Koester Settlement Administrator – 6945
c/o Rust Consulting
PO Box 44
Minneapolis, MN 55440-0044

Tags: Depreciation of Labor Costs, Homeowners Insurance, Insurance