Insurance Company Pays Even Though it Says There is No Coverage
M.A. was walking on the sidewalk along a bridge on his way home from work one evening when he was struck by a bicyclist who was riding his bicycle on the bridge in violation of local ordinance. M.A. was knocked into the path of oncoming traffic and was run over by at least one car and nearly died as a result of his injuries. M.A. was hospitalized for several weeks and incurred nearly $1 million in medical expenses. The bicyclist contested liability and, more importantly, claimed that he had no insurance coverage. Eventually, the bicyclist filed bankruptcy to avoid paying any jury verdict personally.
Attorneys Stephenson and Rife dug into the background of the bicyclist and where he had been residing for several years prior to the accident. The bicyclist had maintained his sister’s house as his primary residence, although he had rented another apartment. After receiving suit papers, the insurance company initially offered $30,000 to settle the claim. After a series of depositions and through investigation, a confidential settlement was reached for the benefit of M.A.