Earlier this month, a Florida appellate court issued a written opinion in a case brought by a motorist against his own insurance company, after he was involved in a collision with an uninsured motorist. In the case, Fridman v. Safeco Insurance Company of Illinois, the plaintiff was injured after being struck by an uninsured motorist, and he sought compensation within the $50,000 policy limit of his insurance policy with the defendant. However, the defendant denied his claim. Ultimately, a jury awarded the driver $1,000,000 based on the insurance company’s bad-faith denial of the claim, and the court upheld that verdict.
The Facts of the Case
The plaintiff was injured in a 2007 motor vehicle accident. Since the other driver was uninsured, the plaintiff filed a claim with his own insurance company for $50,000. The insurance company denied his request. He then filed a lawsuit against the insurance company, alleging bad faith in failing to settle his claim and seeking the full amount of compensation for his injuries, which “shall include the total amount of the claimant’s damages, including the amount in excess of the policy limits.”
The insurance company then cut the plaintiff a check for $50,000, the limit of his policy. The plaintiff refused the check as an offer to settle the case and opted to allow a jury to determine what his compensation should be. The jury ultimately determined that the plaintiff was entitled to $1,000,000 in compensation for his injuries, as well as for the bad faith of the insurance company. The insurance company filed an appeal, asking the court to consider the $50,000 check a final settlement that preempted the plaintiff’s case at trial.