Multiple Insurance Claims Could Mean Multiple Payouts

Insurance exists to help in case you are involved in an accident. However, it’s important that you have all of the information needed to get full compensation from your claim. Did you know that multiple insurance claims could mean multiple payouts for you? 


Mr. Calderon was injured in a motor vehicle accident with an uninsured motorist.  Like many of my clients, sometime prior to the incident, Mr. Calderon purchased two policies of insurance – uninsured/underinsured (um/uim) motorist coverage and medical payments (MedPay) coverage.  Following the accident, MedPay coverage was used to pay Mr. Calderon’s medical providers.  Mr. Calderon made a claim for his um/uim coverage, and after getting nowhere with his insurance company, Mr. Calderon filed a lawsuit.  The jury returned a verdict in his favor but the trial court reduced his award by $5000 as a set off for the MedPay coverage.  In other words, the trial court said Mr. Calderon received the benefit of his paid-for MedPay coverage ($5000) and he, therefore, wasn’t entitled to keep that as part of the jury’s award.  The Colorado Supreme Court disagreed.  In short, the Court said the amount of um/uim coverage could not be reduced in a particular case by a setoff from any other coverage, including MedPay coverage.  The jury awarded Mr. Calderon $68,338.97 in damages against his insurance company; the trial court reduced that by $5000.  The Supreme Court said this was wrong – Mr. Calderon had paid two separate premiums (one for MedPay, one for um/uim coverage) – and therefore, Mr. Calderon’s damages could not be reduced by the $5000 paid out in MedPay coverage.

Why Is This Important?

  •  When purchasing insurance, work with your agent to fully understand the coverages you are purchasing.  Insurance policies often need to be clearer, better written, and mostly benefit the insurance company.
  •  Never let the insurance company dictate what you may be entitled to
  • Auto accident cases can sometimes be complex and involve many different insurance providers and coverages; always consult a qualified attorney after you’ve been involved in an auto accident

Cave Law offers free consultations for all auto accident cases.  Call today at 303-680-9000 to discuss your rights and options if you’ve been injured in an auto accident.