questions & answers

Question: Can a UIM claim be offset by another Insurance policy if a s small portion of the claim was already paid out by secondary insurance company? So let's say I was paid out $50,000 by my personal policy but my claim is worth 100,000. Can the other Insurance offset the 50,000 I've already been paid leaving them to only pay me another 50,000 or can I collect the full 100,000 from them?

Answer: The Arizona statute governing underinsured motorist insurance is A.R.S. Section 20-259.01.  Part G of the statute reads:  "Underinsured motorist coverage includes coverage for a person if the sum of the limits of liability under all bodily injury or death liability bonds and liability insurance policies applicable at the time of the accident is less than the total damages for bodily injury or death resulting from the accident.  To the extent that the total damages exceed the total liability limits, the underinsured motorist coverage provided in subsection B of this section is applicable to the difference." (emphasis added).