Progressive’s Snapshot® usage-based insurance program is a discount program where Progressive’s customers can purportedly save money on their car insurance by sharing their driving habits with Progressive.1 According to Progressive, seven out of ten drivers who try Progressive’s Snapshot program have qualified for a discount, which can be as high as 30 percent. According to Progressive, it is “simply asking all drivers, ‘why wouldn’t you try it?’
Participating customers are given a device that can fit into the palm of one’s hand, plugs into the vehicle’s on-board diagnostic port, and is powered through the vehicle’s battery. The device records and sends driving data directly to Progressive, and Progressive uses that information to calculate a participating customer’s insurance rate. After installation of the Snapshot device, driving data is analyzed for 30 days, after which customers find out if they are eligible for a discount based on their driving habits.
Progressive claims that Snapshot customers can make changes to their driving habits that will lead to “bigger discounts” and “huge savings.” Through Progressive’s marketing and advertising campaign, Progressive implies that Snapshot is safe for use in vehicles. Progressive conveyed and continues to convey this deceptive message through a fully-integrated advertising campaign, which utilizes a variety of media, including television, newspapers, magazines, direct mail and the Internet. Progressive’s representations, however, are false, misleading and reasonably likely to deceive the public since Snapshot always drains a vehicle’s battery, making the battery worth less than it would be without the Snapshot device. Many times a vehicle’s battery is drained to the point that the battery is non-functional.
Plaintiff brings this action on behalf of himself and all others similarly situated who have participated in the Snapshot program in the United States. This action seeks to halt Progressive’s dissemination of the false advertising message that Snapshot is safe for use in vehicles, correct the false and misleading perception it has created in the minds of consumers, and to obtain redress for those who have experienced damage to their vehicles by their participation in Snapshot.