Graf v. State Farm Mut. Auto. Ins. Co.

Plaintiff was driving her car when she was struck from behind from an underinsured motorist. Plaintiff claimed uninsured/underinsured (UM/UIM) coverage and medical payments under two State Farm Mutual Automobile Insurance Company policies and filed a complaint against State Farm seeking coverage pursuant to both policies. The parties agreed to arbitrate the amount of damages caused by the accident but to have a court decide any issues relating to the amount of UM/UIM coverage available to Plaintiff through the policies. An arbitration panel found that the accident caused Plaintiff damages of $378,000. Thereafter, the superior court concluded that Plaintiff had UM/UIM coverage under only one of the State Farm policies, deferred to the arbitration award as to Plaintiff’s actual damages, determined that she was entitled to $250,000 from State Farm, and reduced the arbitration award accordingly. The Supreme Judicial Court affirmed in part and vacated in part, holding that the superior court did not err in concluding that Plaintiff was entitled to coverage under only one of the State Farm policies but erred in deciding calculating the amount due under that policy. Remanded. View "Graf v. State Farm Mut. Auto. Ins. Co." on Justia Law