Franke, Schultz & Mullen, PC | UIM insurer has right to contest liability and damages after denial of coverage
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UIM insurer has right to contest liability and damages after denial of coverage

05/29/2012

Nikki Cannezzaro obtained the reversal of a trial court ruling preventing a UIM carrier from litigating the issues of liability and damages in an action against the UIM tortfeasor. The issue in the case was whether the plaintiff's UIM carrier has a right to intervene and contest liability and damages in plaintiff's action against the UIM tortfeasor after the UIM insurer denied coverage to plaintiff for UIM benefits. In addressing the issue on appeal, the Western District Court of Appeals held that the UIM carrier had an absolute right to intervene in an underlying tort action against the alleged underinsured motorist and contest liability and/or damages in such action. Bradford Charles v. Consumers Insurance, Case NO. WD 73315 & 73363, 2012 WL 1912626, May 29, 2012.