Conversion Coverage – Too Important Not To Have

Under Connecticut law, everyone who has car insurance has uninsured/underinsured motorist benefits coverage.  What most people do not know is how much coverage the underinsured motorist coverage provides.  If you suffer personal injuries in a car accident caused by the negligence of the other driver, you are entitled to be compensated by the other driver’s insurance company.  In many instances, the negligent driver has inadequate insurance.  Typically, the person has a 20,000/40,000 policy.  This means that the negligent driver has a total of $20,000 in insurance coverage to compensate you for your injuries and losses.  In most cases, $20,000 will not fairly and justly compensate the person.  This is why underinsurance coverage is so important.  Using the example above, once the negligent driver’s insurance company pays the $20,000, the only other realistic source for additional compensation comes from your underinsurance coverage.  The amount of underinsurance coverage available to you will be dictacted by the terms of your insurance company.  If for example, you have standard uninsured/underinsurance coverage in the amount of 100,000/300,000, you would have a total of $80,000 in underinsurance coverage.  You have $80,000 in coverage and not $100,000 because the negligent driver had $20,000 in coverage.  This is what many people do not understand.  Your underinsurance coverage only kicks in if your coverage exceeds the liability limits of the negligent driver’s insurance policy.  If you have a 20/40 policy and the negligent driver has a 20/40 policy, you do not have underinsurance coverage for that car accident.

However, this can be rectified verry easily and for little additional cost.  It is called conversion coverage.  Insurance companies doing business in Connecticut are required to offer conversion coverage.  Conversion coverage works as follows:  If you are hit by a negligent driver who has a 100/300 policy and you have underinsurance coverage of 100/300 with conversion, you will have a total of $200,000 in available insurance to compensate you for your injuries (100,000 from the negligent driver and 100,000 from your insurance policy).  Without conversion, you would only have the 100,000 from the negligent driver.  The additional cost for conversion coverage is nominal and the benefits of the coverage can not be emphasized enough.  If you do not presently have conversion coverage, contact your insurance company and get it.  The lawyers at Sabatini & Associates have unfortunately seen too many cases where the injured person has been undercompensated due to a lack of sufficient insurance coverage.

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Immunity For Car Rental & Leasing Companies

Congress passed the so-called Graves Amendment, 49 USC 30106, a few years ago which abolishes vicarious liability in the case of rental and leased cars.  In other words, the car owner (the rental company) will not be liable for the negligence of the operator.  This federal law preempts any state law, such as Connecticut’s, which creates vicarious liability against a car rental company.  This federal law seriously affects the ability for an injured person to be fully compensated in the event of a car accident.  Prior to the law, leasing and rental car companies would be responsible in the following scenario:

  • The leased car went through a red light causing serious injuries to the driver of the other car.  The innocent car carried only 50/100 coverage.  The leased car which ran the light had no insurance!  However, the leasing company carried its own insurance of $1,000,000.  Therefore, a pool of $1,050,000 was available to the injured person.  Under the Graves Amendment the injured person would only have $50,000 in insurance coverage.

This law was a gift from Congress to the auto rental and leasing companies.  Furthermore, it is a double standard.  If you permit someone to drive your vehicle and that person causes an accident, you are responsible for the injuries because you permitted someone to drive your vehicle.  Under the Graves Amendment, not only do the auto leasing and rental companies permit others to drive vehicles they own, they get paid for the granting of that permission.  Yet, in exhange for those payments, they face no financial responsibility when the driver causes injuries as a result of negligent driving. 

This law adss another reason why everyone driving should be adequately insured including conversion uninsured and underinsured conversion which will be discussed in further detail in a future blog post.

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Trinity College Student Injured At Frat Party

A Trinity College student was seriously injured over the weekend  during a fraternity party.  According to news reports, the student dove into a makeshift pool that had been dug into the ground.  The exact nature of the injuries have not been reported. The student was taken to Hartford Hospital.  There have been no news reports as to whether alcohol was involved.

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Sabatini & Associates File Ortho-Evra Birth Control Patch Lawsuits

Sabatini and Associates, LLC has recently filed product liability lawsuits on behalf of clients who have suffered serious injuries including stroke as a result of the Ortho-Evra birth control patch.  The lawsuits allege among other things that the defendants including Johnson & Johnson knew of the increase risk of blood clots and stroke associated with the birth control patch but neglected to provide the information to the FDA in a timely fashion and failed to attach adequate warnings with the patch. 

If you or a loved one has suffered serious injuries as a result of the birth control patch, contact our attorneys today for a consultation.

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Teen Paxil Suicide Case Going To Trial

A federal judge in Pennsylvania ruled on Wednesday, October 1, 2008 that a lawsuit filed by the parents of a 16-year-old New Jersey boy who committed suicide while taking Paxil can proceed to a jury trial. In doing so, the Court denied the motion for summary judgment filed by Paxil manufacturer GlaxoSmithKline (GSK).

This was GSK’s second attempt at stopping this particular Paxil suicide case arising from the death of Harold Stanley “Jake” Garrison. Just last month Senior Judge Ronald L. Buckwalter, of the United States District Court for the Eastern District of Pennsylvania, rejected GSK’s preemption arguments recognizing the vital role tort litigation has played in protecting the health and safety of its citizens, Knipe v. SmithKline Beecham Corp., 2008 WL 4090995 (E.D.Pa., Aug. 28, 2008).

In denying GSK’s latest motion to prevent the case from proceeding with a jury trial, the judge made the following statements relating to GSK’s legal arguments:

“Defendant’s arguments, however, offer a myopic view of the record and misconstrue the relevant jurisprudence. It is well-established that a plaintiff need not hear the misrepresentation from the defendant directly for there to be actionable fraud”

“Defendant cites to no law – nor can this Court find any case – that applies the New Jersey presumption of adequacy to use of a drug in an unapproved population. More importantly, it is contrary to all reasonable logic to adopt Defendant’s suggestion that it may hide behind an FDA-approved warning regarding adult use of Paxil, when the FDA never had the opportunity, during the pertinent period, to review the propriety of a proposed warning with respect to pediatric use of Paxil.”

“Moreover, the fact that, when given the crucial data, the FDA finally required Defendant to revise its label in October 2004, to reflect what Defendant possibly knew as of 1998, ‘provides powerful evidence’ that the label originally approved by the FDA, which contained no precautions or warnings regarding pediatric use, was inadequate, at least from 1998 forward.”

“Finally, the Court takes note of the inherent hypocrisy in Defendant’s argument. On one hand, Defendant contends that it had no duty to warn of known risks involved in off-label usage of the drug, whether or not it had reason to know of such off-label uses. On the other hand, it contends that once its drug was approved by the FDA for some indications, it was protected by the presumption of adequacy for FDA warnings for usage in all indications, even where the FDA had never considered the propriety of the warning. On a hypothetical third hand, it claims that any attempt to rebut the presumption by proof of nondisclosure is preempted by federal law, thereby making the presumption effectively unrebuttable. Applying such logic, a pharmaceutical manufacturer possessing information regarding hazards associated with off-label use of its drug would never have to warn the medical community of any off-label usage dangers or submit data regarding these dangers to the FDA. Such a result is contrary to New Jersey’s ‘strong interest in encouraging the manufacture and distribution of safe products for the public and, conversely, in deterring the manufacture and distribution of unsafe products within the state’…”

In allowing plaintiffs’ punitive damages claims to proceed, the Court commented that:

“Beyond the evidence already discussed throughout this opinion showing that GSK knew of the risk of pediatric suicidality as of 1998, internal GSK documents suggest that Defendant acted with a wanton and willful disregard for the safety of its consumers.”

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