Newsletters

Impact of Riders/Endorsements on Auto Insurance Policies

A rider is a paper attached to a document that amends the document. In an automobile insurance policy, a rider can modify the conditions of the insurance policy. It can increase or decrease the policy's benefits. It can add exclusions from coverage, like a crime exclusion clause. The use of the rider means that the entire policy does not have to be rewritten if a change needs to be made. Riders are also known as endorsements, slips, or rubber stamps.

Comparative Fault in Automotive Products Liability Cases

Tort law is the branch of the legal system that deals with cases in which an individual or other legally recognized entity, such as a corporation or governmental unit, seeks to recover damages from another person for a private injury or wrong not arising out of a contractual relationship. Tort actions are often based on the concept of negligence, which the law generally defines in such a context as the failure to meet the standard of care required to avoid subjecting another to unreasonable risk of injury. Under traditional tort law principles, if the plaintiff in such a case was found to have been guilty of what is called contributory negligence, which is generally defined as a failure to use due care that contributes to the plaintiff's own injury, the plaintiff would be barred from recovering any damages from the defendant. More recently, many courts have adopted a doctrine called comparative fault or comparative negligence in deciding such cases.

Applicant's Duty to Read Application for Auto Insurance

The contractual agreement entered into when a policy of auto insurance is created is based on the application for insurance made by a prospective insured to an insurer. In situations where there are disparities between the policy as issued and the insured's understanding of the coverage he or she was applying for, or where errors or inaccuracies are found to exist in matters asserted or acquiesced in by the insured in the application, legal issues may arise concerning the extent of the insured's duty to have read the application so as to assure its accuracy and completeness.

Auto Insurance Coverage for Taxicabs

The ubiquitous taxicab is a fixture in the more densely populated areas of the United States. The sheer numbers of such vehicles, and the intensive nature of the manner in which they operate, create types and volumes of risks that implicate numerous issues in the area of auto insurance and the insurance coverage afforded in incidents involving such vehicles.

Motor Vehicle Insurer's Right to Reimbursement of Indemnity Payments

The obligations of insurers to make payments under policies of motor vehicle insurance are based on the sometimes uncertain answers to questions about the extent of coverage and the liability of an insured to a party making a claim under the policy. An insurer may therefore face a difficult decision as to whether to make a payment in response to a third party's demand for such payment under a policy, risking the possibility that the payment is uncalled for in light of some limitation in the coverage, or to deny such a request and risk a claim that the insurer's failure to make the requested payment has made it liable to an insured for additional damages, such as the amount of a judgment in excess of the policy limits.