A fuel filter includes a pair of housing portions defining an interior cavity. A filter element is provided in surrounding relation to a fuel pump. A diverter plate assembly supported in the housing in sealing relation with one of the housing portions, the pump and the filter element, includes a bypass valve with a ball member. The bypass valve is normally closed when the pump is operational, and fuel flow passes from the inlet, through the filter element, and through the pump to the outlet. When the pump is not operational, the bypass valve opens, and fuel flow passes from the inlet through the filter element, and then directly to the outlet, bypassing the fuel pump. The diverter plate assembly includes a segmented collar that couples the assembly to one of the housing portions; a lip seal sealing to the pump; an outer rim that seals to one of the housing portions; and an annular flange that seals to the filter element.