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Injured woman’s insurance policy provisions are in direct conflict

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The Indiana Court of Appeals Thursday agreed with a couple that their auto insurance policy is ambiguous because the two-year contractual limitation provision conflicts with another provision requiring full compliance with the contract.

Darliss Wert was injured in an accident Jan. 16, 2009, that was caused by Barbara Offill’s negligent driving. Darliss and Gary Wert’s attorney informed their insurer, Meridian Security Insurance Co., in March 2010 that the couple had an underinsured-motorist claim because Offill only had $100,000 of liability insurance. The Werts accepted the $100,000 settlement from Offill’s insurance company Jan. 18, 2011, but that money would not be available to the Werts until early February 2011. Meridian offered to settle the Werts underinsured-motorist claim for $5,000 in December 2011. The Werts filed their complaint seeking the benefits Feb. 24, 2012, more than two years after the accident.

The trial court granted summary judgment for the insurer, which argued it was entitled to summary judgment because the claim was filed after the expiration of the contractual limitation period.

The insurance contract in this case states that no legal action will be permitted against the insurance company unless there has been “full compliance with the terms of this policy.” The restriction is amended by only allowing a lawsuit to be brought against the insurance company as long as it is brought within two years of the date of the accident.

The two-year restriction is in direct conflict with the endorsement amending the requirements of the underinsured-motorist coverage, the appellate judges found, because Meridian will not pay underinsured-motorist benefits to its policyholder until the claim has either been resolved or settled with the underinsured motorist.

“Meridian’s policy prohibits the Werts from filing any lawsuit against it for an underinsured-motorist claim until the limits of Offill’s liability coverage have been exhausted. At the same time, Meridian attempts to prevent the Werts from filing more than two years after the date of the accident, potentially requiring them to file a lawsuit before they are in full compliance with the policy,” Judge Nancy Vaidik wrote. “Unless a policyholder settles with an underinsured motorist within two years of the collision, these provisions are in direct conflict and therefore ambiguous.”

The case, Darliss Wert and Gary Wert v. Meridian Security Insurance Company, 15A01-1306-CT-252, is remanded for further proceedings.
 

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  1. The is an unsigned editorial masquerading as a news story. Almost everyone quoted was biased in favor of letting all illegal immigrants remain in the U.S. (Ignoring that Obama deported 3.5 million in 8 years). For some reason Obama enforcing part of the immigration laws was O.K. but Trump enforcing additional parts is terrible. I have listed to press conferences and explanations of the Homeland Security memos and I gather from them that less than 1 million will be targeted for deportation, the "dreamers" will be left alone and illegals arriving in the last two years -- especially those arriving very recently -- will be subject to deportation but after the criminals. This will not substantially affect the GDP negatively, especially as it will take place over a number of years. I personally think this is a rational approach to the illegal immigration problem. It may cause Congress to finally pass new immigration laws rationalizing the whole immigration situation.

  2. Mr. Straw, I hope you prevail in the fight. Please show us fellow American's that there is a way to fight the corrupted justice system and make them an example that you and others will not be treated unfairly. I hope you the best and good luck....

  3. @ President Snow - Nah, why try to fix something that ain't broken??? You do make an excellent point. I am sure some Mickey or Minnie Mouse will take Ruckers seat, I wonder how his retirement planning is coming along???

  4. Can someone please explain why Judge Barnes, Judge Mathias and Chief Judge Vaidik thought it was OK to re weigh the evidence blatantly knowing that by doing so was against the rules and went ahead and voted in favor of the father? I would love to ask them WHY??? I would also like to ask the three Supreme Justices why they thought it was OK too.

  5. How nice, on the day of my car accident on the way to work at the Indiana Supreme Court. Unlike the others, I did not steal any money or do ANYTHING unethical whatsoever. I am suing the Indiana Supreme Court and appealed the failure of the district court in SDIN to protect me. I am suing the federal judge because she failed to protect me and her abandonment of jurisdiction leaves her open to lawsuits because she stripped herself of immunity. I am a candidate for Indiana Supreme Court justice, and they imposed just enough sanction so that I am made ineligible. I am asking the 7th Circuit to remove all of them and appoint me as the new Chief Justice of Indiana. That's what they get for dishonoring my sacrifice and and violating the ADA in about 50 different ways.

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