Farmers Aiding Customers Impacted in M2 Closing

May 2, 2005

The Farmers Insurance Group of Companies announced it has, and will continue to assist customers who have utilized M2 Automotive.

Farmers has been in contact with up to 250 Farmers Insurance Exchange and Mid-Century Insurance Co. customers and claimants who are affected by the M2 closure to discuss options on how to proceed with the repair of their vehicles. As of Monday, Farmers has received access to all 27 M2 facilities to work on getting its customers their vehicles back.

Farmers filed suit on Friday, April 22, against CMA, the liquidation company for M2, seeking, among other things, the immediate return of the vehicles belonging to their customers. The suit was filed in California Superior Court in Los Angeles after CMA reportedly refused their demands to release the vehicles being held in the 27 collision centers formerly run by M2 in California. On Monday, April 25, Farmers reached a tentative agreement with CMA on the release protocol for their customers vehicles.

“We are doing everything possible to help our customers and quickly resolve this situation,” said Ed Reis, assistant vice president of California Auto Claims. “Our main goal is to make this transition easy and to get our customers back where they belong.”

Once the cars are released, Farmers will transport the vehicles to the local body shop of their customers’ choice at no additional charge so that repairs can be completed. Farmers will also pay additional rental cost for customers during this shutdown and transition.

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