I'll have to read the details of the story, but this sounds like it has to be some kind of umbrella liability coverage tied to an auto insurance policy.
Until very recently, Michigan had unlimited Medical liability on car insurance.
GEICO offers Umbrella Insurance.
Maybe that’s what’s covering this.. ?
“Who has an auto insurance policy with a liability limit high enough to pay a $5.2 million claim?”
Geico is my vehicle insurer, and they treat me well (so far). I have to re-read my liability and see if I can get a settlement for a foot sprain. s/
I haven’t read anything about the case but I can tell you how it might work in California.
Woman has a claim against insurance company. Woman has a million dollars coverage. Woman demands that the insurance company pay her the full million. Insurance company refuses with no good reason. Woman brings an “insurance bad faith” action against insurer. Court finds not only that insurance company had a duty to indemnify, but insurance company wrongfully denied coverage. In other words, it wasn’t a close call, it was just the insurance company stonewalling.
Woman is awarded full cost of injury, even if it’s two or three times the million she would have settled for, and punitive damages on top of that. Possibly also attorneys’ fees.
If the woman had been forced to sue the insurance company, pay lawyers, and at the end of the day gets ONLY what the insurance company was supposed to cough up with no hesitation in the first place, she would never challenge the insurance company.
This was my second thought.
My first thought was why would an auto insurance company be responsible for sex in a car which was voluntarily engaged in by both parties?
She might have a case against the guy, but beyond that? No.
More proof that courts are broken/insane.
Yeah, that’s what it boils down to. His policy has a “stuff that happens because of your car” clause. Which is probably meant to cover stuff like collateral damage if the car lights on fire or the like. And the guy said “hey wonder if I can pull this off”. And so far yes.
So everybody should be expecting mail from your insurance company with some slight changes in language.