Progressive Insurance has been sued for “patently illegal” racism by offering $25,000 grants to help black businesses buy vehicles — but barring white, Asian, Latino and other entrepreneurs from applying.
The lawsuit was brought by the conservative group America First Legal (AFL) and others on behalf of Nathan Roberts, the owner of Ohio’s Freedom Truck Dispatch, who was unable to file because he is white.
Progressive, known for its quirky ads, did not respond to DailyMail.com’s requests for comment. They have said the grants were there to help black businesses that have historically struggled to access capital.
AFL attorney Gene Hamilton said the case was part of a wider attack on large companies that “instill racial considerations into every aspect of their business operations, employment practices and much more.”
Progressive, one of America’s top auto insurance companies, is known for its quirky advertising
Nathan Roberts says his firm Freedom Truck Dispatch couldn’t apply because he’s white
“Our client was denied a contract with Progressive that would have paid him $25,000 for the purchase of a new truck just because of the amount of pigment in his skin,” Hamilton said in a statement.
Roberts is a hard-working “small business owner fighting for a better life for himself and his family,” Hamilton added.
The company is based in Ohio
As a progressive commercial insurance policy holder, Roberts received an email in May about grants designed to “help 10 black businesses buy a company car.”
According to the lawsuit, his race makes Roberts ineligible for a scholarship, meaning that he “basically suffers from past and future injuries.”
Blocking non-blacks from applying was “offensive to the American ideal” and violated racial discrimination laws in contracting, he said.
The 50-page lawsuit was filed this week in a U.S. District Court in Ohio.
Roberts wants the court to declare Progressive’s subsidies illegal and award him “nominal” compensation and pay his legal fees.
The case mentions Progressive, one of the largest US auto insurers with about 55,000 employees, and Hello Alice, an online platform they partnered with for the promotion.
Progressive has been asked for comment.
The lawsuit includes Progressive’s original email and screengrabs of the promotion.
The court documents contain promotional material from Progressive about the grants
America First Legal is led by Stephen Miller and other former members of the Trump administration, who say they are ‘fighting back’ against leftists
They state that the scheme was open to “black-identifying entrepreneurs” who ran their own small businesses.
Companies to apply had to have 10 or fewer employees and less than $5 million in revenue.
The promotional materials also stated the reason for the deal – that black people were historically discriminated against.
“Multiple studies have shown how inequality has made it more difficult for black entrepreneurs to access capital,” it said.
“This program should alleviate this challenge.”
AFL is a nonprofit conservative organization led by Hamilton, former senior White House adviser Stephen Miller, and other hardline members of the Trump administration.
The group says they are “fighting back against lawless executive actions” by the Biden administration and the “radical left.”
In recent weeks, the group has also filed lawsuits against Amazon, Target, Kellogg’s and video game maker Activision Blizzard.