Southern District Affirms Greene County, MO Judgment allowing offsets against UIM coverage limits for medical payments benefits11/07/2017
The Court of Appeals for the Southern District of Missouri recently affirmed a Greene County, Missouri judgment in favor of Progressive Max Insurance Company. The Court rejected the insured's argument that he was entitled to the full underinsured motorist (UIM) coverage benefits without any set-offs for amounts received from the tortfeasor’s liability carrier or for the amount received from Progressive under the medical payments coverage section of the policy. The Court held the policy was unambiguous and explicitly stated the limits of liability for UIM coverage are subject to reductions described in the policy, including reduction by sums paid by or on behalf of any person that may be legally responsible and sums paid or payable under the policy’s medical payments coverage section. Previously, no Missouri court had addressed a UIM set-off for medical payments. This decision creates new case law in Missouri upholding an unambiguous medical payments offset against UIM coverage limits. Joan Sheridan authored the brief submitted to the Court.