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Cundiff v. State Farm: Allowing Double Recovery under UIM Coverage and Workers' Compensation

Abstract

In Cundiff v. State Farm Mutual Automobile Insurance Co., the Arizona Supreme Court unanimously held that an insurer may not reduce Underinsured Motorist ("UIM") coverage by the amount of workers' compensation benefits received by an insured. To reach this decision, the court construed the language of Arizona's Uninsured/Underinsured Motorist Act ("UMA"),  and found that UMA's definition of UIM coverage precluded an insurer from deducting workers' compensation benefits from an insured's settlement. The court's ultimate outcome is consistent with the majority of other jurisdictions that have addressed the issue of workers' compensation offset provisions.

How to Cite

50 Ariz. L. Rev. 639 (2008)

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Authors

Melissa Healy

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