In a 5-4 decision in Generette v. Donegal Mutual Insurance Company, the Superior Court holds that a person who insures one motor vehicle can reject stacked uninsured/underinsured motorist coverage. The majority concludes that the language in In re: Stacking Litigation and subsequent decisions to the contrary was dicta. The decision overrules State Farm Mutual Automobile Insurance Company v. Rizzo.
In Generette, the plaintiff purchased non-stacked underinsured motorist coverage from Donegal. She was injured while a guest passenger in a vehicle insured by Nationwide which provided the primary underinsured motorist coverage for Generette's injuries. The Donegal policy contained language which precluded Generette from recovering underinsured motorist benefits from Donegal when the limits of the Donegal policy did not exceed the limits of the primary underinsured motorist coverage. The majority found that language enforceable.
Given the 5-4 decision, we expect plaintiff to seek review in the Supreme Court.
If you would like to read a copy of the opinion, please click here . You can also call Denise Alosi at (215) 665-3321 and request a copy from her. If you have any questions about the case or any other automobile insurance law issues, please feel free to call me.
Very truly yours,
Michael Saltzburg
For further information, please contact Michael Saltzburg, Esquire.
Telephone: 215-665-3340
E-mail: saltzburg@bbs-law.com
