A Missouri appellate court in recent times ruled the fact that GEICO will pay an $5.2 million arbitrage award to woman who contracted Human Papillomavirus (HPV) during sexual contact in a car that was that was insured by the gecko.
“M.O.” filed a complaint with GEICO in 2021. She argued that a man she had been having a fling with at the end of 2017, (“M.B.”) recklessly exposed her to HPV in the course of sexual relations that were not protected in his vehicle. The woman offered to pay the sum of $1 million. GEICO declined coverage and M.O. signed an arbitration agreement in conjunction with M.B.
The arbitrator decided that M.B. was aware of his HPV and was required to inform M.O. prior to having sex in the car, but the doctor did not. In finding M.B. unfit, the arbitrator imposed $5.2 million in compensation.
GEICO protested and claimed that it was never given a opportunity to present its case.
Sorry, There’s No Dice
“But GEICO didhave the chance to take part in the arbitration process and to defend its rights,” the appeals court stated (emphasis notadded). Since the insurer failed to file a claim during an arbitration hearing, the judge concluded that it “had no legal right to litigate the concerns.” Moreover, M.O. sent a letter to GEICO prior to filing lawsuit against M.B., offering to pay.
Missouri law obliges insurers to be informed of any arbitration pending before decision is made and allows them 30 days to appeal. The court, however, disagreed with GEICO’s argument that it could “develop the facts and arguements prior to judgment.”
The insurance company has to accept the pending case as it is in the event that it chooses to intervene. When GEICO was involved, “liability and damages had been established through an arbitrator before being accepted by the trial judge.”
And For Real, Was Not Covered?
As of now, state courts have ruled that at most, M.B. was in error when she failed to not inform M.O. she was at risk of contracting HPV in his absence. The agreement that between the parties allows M.B. to settle an accident claim by agreeing that M.O. will pay her settlement to the insurer.
However, in April 2021 GEICO brought suit against M.O. and M.B. before a federal court seeking an order declaratory in the federal court. It argued that the company had no legal obligation in defending M.B. as his insurance will only cover any damages that result from “normal utilization that the car.” However, M.O. claims that M.B. The insurance policy on his car protected the policy against “personal risk resulting from the negligence of M.B. in his actions that involved the vehicle.” M.O. was also of the opinion his case that federal courts did not have the jurisdiction.
In the month of October, 2021 A federal district judge disqualified M.O. from the lawsuit. The lawsuit is scheduled to go before the jury to hear this autumn.
It’s not necessary to solve the problem on your own. Seek the help of a lawyer
An appointment with a lawyer will assist you in understanding your rights and the best way to ensure your rights. Check out our directory of attorneys for a lawyer in close proximity to your home who will be able to assist.