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Don\\u2019t Drive Off a Cliff, It May Not Be Covered  

https://zalma.com/blog

Jimmy wanted a new pickup truck in the worst way. He decided to  deliberately wreck his old car, make a claim against his insurance  policy and use the proceeds to buy a new F150.  Jimmy disclosed his plan to his best friend, Winifred. She agreed to  help \\u2014 as a lookout for oncoming traffic \\u2014on the night they chose to  destroy the car.  Jimmy, with his friend Winifred as a passenger, intentionally drove his  pickup off the road and over a small cliff at 35 mph. He did not let her  out of the truck to be his \\u201clook out\\u201d as planned. He thought it would  be more realistic a claim \\u2014 one that would not be questioned by his  insurance company, if  Winifred was in the car with him.  As planned, the car did not survive the crash. Unfortunately, neither  did Winifred.  The heirs argued they were entitled to Under Insured Motorists (UIM)  benefits under the Farmers and County Mutual policy because Jimmy was  under insured. Furthermore, they claimed Winifred\\u2019s death was  \\u201caccidental.\\u201d  

Farmers and County Mutual\\u2019s response was, translated from the lawyerese:  \\u201cGive us a break.\\u201d  The heirs argued that Jimmy and Winifred intended to destroy the truck,  not Winifred. The death was accidental.  In the Winifred\\u2019s Heirs v. Farmers & County Mutual arbitration,  Farmers and County argued that interpretation of \\u201caccident\\u201d in liability  policies is hyper-technical and legalistic and should not apply to the  same term in UIM policies. The arbitrator ruled in favor of the insurer.  The heirs sued, lost at the trial court, that adopted the ruling of the  Arbitrator. The heirs appealed and a Court of Appeals agreed, saying  that, for UIM purposes, an \\u201caccident\\u201d is an \\u201cevent\\u201d that, from the  insured\\u2019s and the underinsured motorist\\u2019s perspective, is \\u201cunforeseen,  unintended unexpected or the like.\\u201d  An injury is not accidental, the appellate court explained, if the  injury-producing event was intended or expected. It is not necessary  that the insured intend or expect the injury.  

People who do wrong should not profit from it. Paying Winifred\\u2019s heirs  for her death while admitting that she was intentionally a part of a  criminal act is the same as the police paying the heirs of an armed  robber who is shot to death by the police in the course of his armed  robbery.

Every person who buys insurance should shout to their insurers \\u2013 GIVE US  A BREAK!  (c) 2022 Barry Zalma & ClaimSchool, Inc.  Barry Zalma, Esq., CFE, now limits his practice to service as an  insurance consultant specializing in insurance coverage, insurance  claims handling, insurance bad faith and insurance fraud almost equally  for insurers and policyholders. He practiced law in California for more  than 44 years as an insurance coverage and claims handling lawyer and  more than 54 years in the insurance business. He is available at http://www.zalma.com and zalma@zalma.com.  Subscribe to Zalma on Insurance at locals.com https://zalmaoninsurance.local.com/subscribe.  Subscribe to Excellence in Claims Handling at https://barryzalma.substack.com/welcome.