Class Action Settlement reached against Protective Life Insurance Company, providing $80 million in compensation and policy reinstatement for policyholders whose life insurance policies were improperly terminated.
San Diego, Calif. – The Honorable Thomas J. Whelan of the U.S. District Court for the Southern District of California has granted preliminary approval of a class action settlement in the case of Morneau v. Protective Life Insurance Company. The lawsuit alleged Protective Life Insurance Company and its affiliates violated California insurance laws by failing to provide policyholders with proper notice and grace periods before terminating their life insurance policies.
The settlement, which awaits final approval at a hearing scheduled for October 24, 2025, provides two forms of relief:
- Injunctive Relief: Protective Life must implement proper procedures to comply with California law, ensuring current and future policyholders receive the full protection of the statutes.
- Damages Relief: The $80 million settlement fund will provide compensation to class members whose policies were improperly terminated or who were denied benefits.
“We’re pleased the court has given preliminary approval to the settlement in Morneau v. Protective Life Insurance Company. This is an important step forward for the policyholders affected by Protective’s failure to follow California’s notice and grace period laws before terminating life insurance policies,” said Michelle Meyers, Partner at Singleton Schreiber LLP, who served as one of the lead attorneys on the case. “Our goal from the beginning has been to secure relief for those impacted while holding the company accountable. This settlement does just that. It offers meaningful compensation and ensures these harmful practices are addressed. We look forward to final approval in October and remain committed to protecting the rights of all Class Members.”
This resolution not only provides financial compensation but also forces industry-wide acknowledgment that these consumer protection laws must be followed. This is one of the largest settlements of its kind against a life insurance company for these violations.
About Singleton Schreiber
Singleton Schreiber is a client-centered law firm, specializing in mass torts/multi-district litigation, fire litigation, personal injury/wrongful death, civil rights, environmental law, insurance bad faith, and sex abuse/trafficking. Over the last decade, the firm has recovered more than $3 billion for clients who have been harmed and sought justice. The firm also has the largest fire litigation practice in the country, having represented over 30,000 victims of wildfire, most notably serving plaintiffs in litigation related to the 2025 Eaton and Hurst Fires, 2025 Moss Landing Battery Plant Fire, 2023 Maui wildfires, the Colorado Marshall wildfire, the Washington Gray wildfire, several California wildfires, and others.
