Posted On: January 8, 2007, 2:21 pm CST

Posted By: Adjuster

A few answers:

1. If the parents intentionally sabotage their own defense, the carrier can and likely will file a dec action to deny coverage based on lack of cooperation.

2. Why "must" the carrier pay for mom's negligence? Because, in absence of a family exclusion law, they must pay for her negligence which causes damages while operating the vehicle. Is the child also an "insured"? I think there is real question whether an infant can be considered an "insured" under an auto policy. In any case, the child was not driving and cannot be responsible for his own negligence (if any) because of age.

3. Yes, its a "tear jerker" and the lawyers will likely rake in 30-50% of the amount paid. In real terms, the $100k is meaningless to the child, who likely has expenses of that amount on a yearly basis. In real terms also, the only "victory" here is for the trial lawyers, which is why the insurance company is fighting the action.