In Michigan, two insurance companies started a bizarre argument that could soon impact the rest of the nation. Lawyers from State Farm Mutual Auto Insurance and Farm Bureau Insurance stirred public outrage. This due to refusing to pay compensation for a paralyzed man who was hit by an SUV while crossing the street. The two car insurance companies argue that the man did not have car insurance on his scooter, which means they do not have to pay for the damage.
Lawyers are warning about this case impacting as many as 300,000 elderly and disabled individuals nationally. Steven Gursten, a lawyer representing accident victims, said that if this case succeeds in Michigan, you can expect to see it for the rest of the country. The State Farm Bureau described the accident as minor and the spokeswoman for State Farm refused to comment.
Harold Perakis, attorney for the scooter victim, stated that this case could help insurance companies create new premiums and refuse lawsuits. He continued in saying that he was astounded by the greed because his client truly needs help.
State Farm Mutual Auto Insurance paid $2 million in bills to the accident victim, George Veness, a 63-year-old man. State Farm stopped paying at a critical time when Veness needs surgery that could save his life. The insurance companies are saying that the scooter should have been insured because it was classified under the No-Fault Act.
While auto insurance companies say it caused no injuries, the SUV exasperated some injuries. When the SUV hit George Veness, it tipped the scooter and irritated George’s colostomy injury. Additionally, he has an ongoing neck and back injury, stomach hernia and leg circulation problems that were made worse. If State Farm succeeds, the disabled could soon be required to have car insurance for motorized scooters everywhere.
Call Waggoner Insurance today at (770)-434-4000
Sources:
Business Week
Daily Tribune