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Vol. IX No. XI
NOVEMBER 2003
COMPENSATION
NEWS
MONTHLY REPORT
UNINSURED MOTORIST CREDIT IN A
WORKERS' COMPENSATION CASE
applicant further received $85,000
from his automobile insurance carrier
for the applicant's underinsured
motorist coverage.
The applicant was found to have
a compensable injury. The carrier was
solvent at the time of the injury. The
carrier became insolvent and
California Insurance Guarantee
Association (CIGA) was joined in the
workers' compensation proceedings.
CIGA asked for a credit from the
Workers' Compensation Appeals
Board (WCAB). The Workers'
Compensation Judge (WCJ) denied
the credit. CIGA filed a Petition for
Reconsideration. The WCAB did not
allow the credit.
A Writ was filed and the appellate
court disagreed with the WCJ and the
WCAB.
The appellate court indicated that
if the applicant had full coverage that
the workers
compensation carrier would be
entitled to a full credit. Therefore,
someone who is underinsured
should not receive more than
someone who is adequately
insured. This would not be fair to
the person who is properly insured.
Moreover, the applicant would get
a double recovery.
Even though this case dealt
with CIGA and issues related to
'covered claims' the same argument
should be made when representing
a solvent carrier. The court stated
"the employer's or insurer's right to
reimbursement from the third party
tortfeasor takes first and full
priority".
Editor: Harvey Brown
Firm: Samuelsen, Gonzalez,
Valenzuela and Brown
Address: 18500 Von Karman
Suite 470, Irvine CA
Phone: 949 252-1300
CALIFORNIA
INSURANCE
GUARANRTEE
ASSOCIATION V.
WCAB (MANGUM)
The applicant in this case filed a
workers' compensation case for a
claim arising out of a car accident
while at work.
The applicant settled with his
automobile insurance carrier for the
policy limit of $15,000. The
In this issue...
CALIFORNIA INSURANCE
GUARANRTEE
ASSOCIATION V. WCAB
(MANGUM)
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