WILMINGTON, October 9, 2017: Shae Chasanov recently had a Motion For Summary Judgment granted in GEICO Insurance Company’s favor in the Court of Common Pleas of the State of Delaware in the case of Khaliq Anderson, a minor by their natural mother and next of friend, Amira Dickerson v. GEICO Secure Insurance Co., C.A. No. CPU4-17-000021. The decision came out on September 26, 2017 following a hearing on September 1, 2017, and the Judge presiding was Chief Judge Alex J. Smalls.
The issue was whether GEICO breached its contract by failing to preserve the plaintiff’s Personal Injury Protection benefits( AKA as PIP benefits) for home care services. The minor plaintiff was involved in an automobile accident on September 27, 2016, sustaining very serious injuries as a result. His counsel made a verbal request to GEICO seeking that PIP coverage be reserved for the minor’s future home care. A letter was thereafter sent seeking the same preservation. GEICO responded requesting the plaintiff’s authority for this request, in light of the statute requiring prompt processing and payments of PIP benefits. No response was provided to GEICO’s request for additional information, and therefore, GEICO paid medical bills submitted by the hospital. The payment of these bills exhausted the PIP coverage available to the minor.
The court reviewed the specific facts, finding that there was no clear indication in the plaintiff’s PIP application for the requested preservation of PIP benefits, and the plaintiff ignored GEICO’s request for supporting authority for this request. Furthermore, the court looked at other jurisdictions that have considered this issue. The court ultimately decided that GEICO’s request for additional documentation was reasonable, and the plaintiff’s failure to respond to this request left the insurer in a difficult position of either following the PIP statute or the request.