In Cothran v. State Farm Mutual Auto Insurance Co., 2019 WL 3683591 (S.C. 8/2/19) the Colorado Supreme Court invalidated a PIP provision in State Farm’s policy which attempted to coordinate its benefit with workers compensation benefits. The Court held that South Carolina’s PIP statute prohibited set-offs, and therefore the clause was void. The Court found that the language of South Carolina’s Section 38-77-144 was intended to prevent insurance companies from avoiding payment of PIP benefits by directing their insureds to other sources of recovery, such as workers compensation insurance.
SOUTH CAROLINA SUPREME COURT INVALIDATES PIP SETOFFS
On Behalf of Steven Plitt, Insurance Expert | Dec 5, 2019 | Insurance Law
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