Effect of Recall Campaigns on Automotive Products Liability Cases

The basic elements of proof that a plaintiff has to establish in a products liability action against a manufacturer or seller of a motor vehicle are that the vehicle as sold contained a defect that created an unreasonable risk of death, personal injury, or property damage when the vehicle was used for its intended purpose and that the defect caused an accident or similar incident, such as a vehicle fire, that resulted in the damage or loss for which the plaintiff seeks to recover damages. Vehicle defects for purposes of establishing liability in such a case include shortcomings in the design of a vehicle, errors in the manufacture of its component parts or in their assembly into a complete car or truck, and failure to warn the purchaser or operator of risks inherent in the use and operation of the vehicle. Safety-related recall campaigns covering a vehicle involved in such an action can have an effect on the outcome of the dispute between the parties.

Underinsured/Uninsured Motorists Exhaustion Requirements

Underinsured motorist and uninsured motorist provisions in auto insurance policies often contain language stating that the underinsured or uninsured motorist coverage will not become available until the policy limits of all insurance policies that are applicable to the accident have been exhausted by the payment of judgments or settlements. Such exhaustion requirements are included in the policy because of the substitute or supplemental nature of the coverage and the understandable desire of the insurer to assure that all other available coverage has been applied before it is obligated to pay benefits under the underinsured or uninsured motorist provisions of the policy.

Household/Family Members Exclusions in Motorists Insurance

Exclusions in a motorist insurance policy that deny coverage to members of an insured's family or household may or may not be valid in a particular case. Further, several factors must be considered before an injured party may be found to be a member of an insured's family or household. It is best to check current case law before accepting that these exclusions in a motorist insurance policy bar an injured person's recovery from the insured's policy.

Tort Liability of Owners/Operators of Private Motor Vehicles

While the owners and operators of private motor vehicles sometimes think of their possession of auto insurance as totally eliminating any potential tort liability on their parts, such owners and operators remain subject to the tort system to the extent that their insurance coverage does not encompass part or all of their legal liability for an incident that has caused personal injury or property damage to another person. Such a situation can arise, for example, where a court judgment reflecting injury or damage caused by an insured private vehicle owner or operator exceeds the limits of his or her policy, or where the insured's failure to provide required notice to an insurer or cooperate in the defense of a legal action causes the insurer to assert that it is not required to provide coverage for the loss under the policy.

Insurance Coverage for Motorcycles

Whether it is warmer weather or increased fuel costs, more motorcycles are evident on America's roads and highways. There is a greater danger involved in riding a motorcycle than in driving a car. As a result, insurance companies treat motorcycles and their riders differently than automobiles and their passengers. Such treatment does not violate the constitutional right of equal protection under the law.