Academic journal article Journal of Risk and Insurance

Delaware Supreme Court Finds Direct Mail Insurer's Policy Language Inadequate to Satisfy State Statutory Requirement of Making Additional Uninsured Motorist Coverage Available

Academic journal article Journal of Risk and Insurance

Delaware Supreme Court Finds Direct Mail Insurer's Policy Language Inadequate to Satisfy State Statutory Requirement of Making Additional Uninsured Motorist Coverage Available

Article excerpt

DELAWARE SUPREME COURT FINDS DIRECT MAIL INSURER'S POLICY LANGUAGE INADEQUATE TO SATISFY STATE STATUTORY REQUIREMENT OF MAKING ADDITIONAL UNINSURED MOTORIST COVERAGE AVAILABLE

Mason v. United Services Automobile Association, C.A. No. 94C-09-013-SCD (Del. S. Ct. July 30, 1997)

A Delaware statute (18 Del. Code 3902(b)) requires that automobile insurers offer policyholders the opportunity to purchase additional uninsured motorist (UM) insurance (up to $100,000 per person/$300,000 per accident) beyond the $15,000 minimum mandated for auto policies. The USAA policy sold to Katherine Howerton did not discuss this option until page 41 of a 50-page packet of policy information sent by USAA to the insureds.

Thomas Mason was injured in a 1992 motorcycle accident by an unidentified (and hence uninsured) driver and was covered as an additional insured under the policy of Ms. Howerton, his mother. The policy provided only the minimum UM benefits of $15,000 per injured person and $30,000 per accident. Mr. Mason successfully argued that the insurer had not adequately offered his mother the right to purchase additional UM coverage as required by statute. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.