 |
 |
to fill out a simple form to connect to Personal Injury Lawyers in your area.
|
|
|
|
|
West American Insurance Company v. Popa12/23/1998
ge limits set forth on the insured's declaration page. For example, an insured could purchase what he believed was $300,000 liability insurance, pay a premium for $300,000 liability insurance, and, after an accident, discover that he has only $20,000/$40,000 liability insurance because the circumstances fell within one or more of the many invalid exclusions or exceptions in the insurance policy. Persons who paid much more in premiums for coverage in excess of minimums could, in many circumstances, receive no more than those who only paid for minimum coverages. Consequently, we decline to extend the holding of State Farm Mut. v. Nationwide, supra, beyond the household exclusion clause which was involved in that case.
Furthermore, the present case is a particularly inappropriate one for applying the holding of State Farm Mut. v. Nationwide Mut., supra. Under the Maryland Insurance Code, the statutorily required minimum uninsured/underinsured coverage which an insurer must offer is not $20,000/$40,000. Instead, an insurer must offer an amount of uninsured/underinsured coverage equal to the liability coverage provided for in the policy. See Code (1997), 19-509(e) of the Insurance Article; Code (1957, 1994 Repl. Vol.), Art. 48A, 541 (g)(1). Under statutory provisions like Maryland's in this regard, courts elsewhere have rejected arguments similar to West American's. See, e.g., Employers Mut. Cas. Co. v. McKeon, 159 Ariz. 111, 115, 765 P.2d 513, 517 (1988); Spain v. Valley Forge Ins. Co., 152 Ariz. 189, 193, 731 P.2d 84, 88 (1986); Threats v. Derousselle, 636 So.2d 276 (La.App. 1994); Schoer v. West Bend Mut. Ins. Co., 473 N.W.2d 73 (Minn. App. 1991); Bray v. North Carolina Farm Bur. Mut. Ins. Co., 341 N.C. 678, 685, 462 S.E.2d 650, 654 (1995).
In this case, as required by the statute, West American offered and the Popas accepted underinsured motorist coverage in the amount of $300,000. Therefore, the Popas are entitled to underinsured motorist benefits in the amount of $300,000, less the $50,000 already recovered from the underinsured motorist, the State of Maryland.
JUDGMENT OF THE COURT OF SPECIAL APPEALS AFFIRMED. RESPONDENT TO PAY COSTS.
Page 1 2 3 4 5 6 7 8 9 10 11 Maryland Personal Injury Attorneys
Personal Injury Lawyers
|
| |
to fill out a simple form to connect to Personal Injury Lawyers in your area.
|
|