Kyle Busch Lawsuit: Settlement Reached with Pacific Life Insurance

Kyle Busch and his wife, Samantha Busch, have reached a settlement in their lawsuit against Pacific Life Insurance Company, Rodney Smith, and Red River LLC, bringing an end to a dispute that began in November 2025. The settlement was jointly announced by all parties on Thursday, February 26, 2026, in a filing with Judge Matthew Orso of the North Carolina Superior Court Division.

The Busches initially filed suit in Lincoln County, North Carolina, alleging they were misled into purchasing complex life insurance policies that resulted in losses exceeding $8.58 million. The lawsuit claimed Pacific Life and agent Rodney Smith engaged in deceptive practices related to the design, sale, and administration of multiple policies. Kyle Busch, a two-time NASCAR Cup Series champion, publicly expressed concerns after receiving a sixth premium notice on a plan he believed was limited to five years, raising questions about the funds’ disposition.

According to court documents, the Busches invested $10.4 million, believing the policies would provide self-funding income for retirement. They later discovered the policies were projected to expire within 16 months, with the entire investment at risk of being lost.

In its legal response to the lawsuit, Pacific Life argued that the claims were time-barred and that the Busches failed to adequately review the terms and conditions of the insurance plan. Despite this defense, the parties ultimately agreed to a confidential settlement.

The terms of the settlement remain undisclosed. However, the joint filing indicates that all parties will bear their own legal fees and costs. The parties intend to file a stipulation or motion for dismissal within the next 30 days, pending the finalization of settlement paperwork. Judge Orso has agreed to stay all pending deadlines to allow for the completion of these documents.

The lawsuit centered on five Indexed Universal Life Policies purchased between 2018 and 2022, designed to provide over $90 million in insurance protection. Pacific Life contended that the Busches either did not fully fund the policies, allowed them to lapse, or surrendered them, leading to the diminished value.