United States District Court, D. New Jersey, Camden Vicinage
Gerlock Hanni, Esq. Michael Glassman & Associates LLC
Laurel Wood Corporate Center Counsel for Plaintiff
Lindsay L. Andreuzzi, Esq. Marni Sabrina Berger, Esq. Post
& Schnell PC Four Penn Center, Counsel for Defendant USAA
Casualty Insurance Company
Colleen M. Ready, Esq. Margolis Edelstein Counsel for
Defendant Government Employees Insurance Company
RENÉE MARIE BUMB UNITED STATES DISTRICT JUDGE
matter comes before the Court upon cross motions for partial
summary judgment filed by co-defendants USAA Casualty
Insurance Company (“USAA”) and Government
Employees Insurance Company (“GEICO”) concerning
the allocation of underinsured motorist coverage
(“UIM”) between themselves. For the reasons set
forth below, the Court will grant GEICO's motion and deny
USAA's cross motion.
Facts and Procedural History
instant dispute involves only legal questions concerning the
application and interpretation of the GEICO insurance policy
at issue. For the purposes of the pending cross motions, the
following facts are undisputed.
Alvin Parker Jr. was injured in an auto accident on October
20, 2013. Parker Jr. was driving his mother's vehicle
when another driver crashed into him. At the relevant time,
Parker Jr.'s mother had automobile insurance coverage
with Defendant GEICO, and Parker Jr. had automobile insurance
coverage with Defendant USAA. It is undisputed that under the
terms of the insurance policies, GEICO is the primary
insurer, and USAA is the excess insurer with regard to the
accident at issue.
other driver was determined to be at fault, and his insurance
company settled with Parker Jr. for $100, 000, which was the
limit of the other driver's policy. It is undisputed that
the other driver is an underinsured motorist for the purposes
of this suit.
GEICO policy provides UIM coverage up to $100, 000.
Plaintiff's USAA policy provides UIM coverage up to $300,
suit was removed to this Court on the basis of diversity of
citizenship on May 5, 2017. The Complaint asserts four
counts: (1) breach of contract / claim for UIM benefits and
(2) bad faith denial of insurance benefits against USAA; and
(3) breach of contract / claim for UIM benefits and (4) bad
faith denial of insurance benefits against GEICO.
faith counts-- Counts 2 and 4-- were dismissed without
prejudice on May 24, 2017.
presently moves for summary judgment on the breach of
contract claim against it; and USAA cross moves for summary
judgment on the same claim. Plaintiff Parker Jr. has filed no
papers in response to either motion. The parties do not
dispute that Parker Jr. is owed $200, 000.00 (in addition to
the $100, 000 he received from the underinsured
motorist's insurer), and so the Court presumes that
Parker Jr. takes no position as to how GEICO and USAA
allocate between themselves payment of the $200, 000.00.