Incomplete UIM Rejection Form Results in Higher UIM Coverage

Posted on: July 10th, 2012       Attorney Thomas Newell

A November 2009 decision of President Judge Motto of the Lawrence County PA Court of Common Pleas permitted a Pennsylvania underinsured motorist claim victim to make a UIM claim up to $300,000.00.  The car accident victim had signed an application for insurance which specifically listed liability coverage of $300,000.00 and UM/UIM coverage of $35,000.00.

After his client had been involved in a car crash, the Pennsylvania underinsured motorist attorney demanded UIM coverage of $300,000.00.  The insurance company and the UIM claim victim both filed Motions for Summary Judgment requesting that the Lawrence County Judge rule in their favor.  President Judge Motto noted that the UM/UIM increase limits rejection form did not specifically list the lower UM/UIM limit of $35,000.00.

The failure of the insurance company to list the specific UM/UIM limits was held to be a violation of Section 1734 of the PA Motor Vehicle Financial Responsibility Law.  Therefore, the judge ruled that the underinsured motorist limits should be amended to equal the liability limits of $300,000.00.  United Financial Casualty Company v. Fornataro, 11791 of 2008 (Lawrence County Court of Common Pleas) P. J. Motto