Strategies, Challenges, and Answers

Does Nevada Follow The Made-Whole Doctrine In The Context of Auto Coverage?

A local insurance adjuster asks whether the “made-whole” doctrine applies in Nevada in the auto subrogation context.  This is one more great question the that is addressed by the Nevada Law Blogs.  However, as you will see, the answer is tremendously confusing. In 2005, the Nevada Supreme Court enthusiastically embraced the concept of the made-whole doctrine.  The case of Canfora v. Coast Hotels & Casinos, Inc., 121 Nev. 771, 121 P.3d 599 (2005) was a fight as to how much the Plaintiff’s … [Read more...]

A Workers’ Compensation Subrogation Lien Extends To A Nevada Injured Worker’s “Total Recovery” From The Third-Party Tortfeasor.

John Breen worked as a banquet chef at Caesars Palace.  He was refueling a portable stove.  It exploded causing him serious burns.  He died two days later.However, Mr. Breen's family believed that he hadn't died from the burns.  Rather they felt that medical malpractice killed him.  They sued the doctors who treated Mr. Breen before his death.  The family recovered a $1,000,000 medical malpractice settlement.Enter stage left . . . Mr. Breen’s employer . . . Caesars . . .  with its hand … [Read more...]

UM Subro? Yes! UIM Subro? No.

In Nevada, uninsured (UM) and underinsured (UIM) come as part of the same insurance offering.  The law requires that both auto coverages must be offered.  NRS 687B.145(2).  While UM and UIM may be legally one and the same coverage, they are treated very differently when it comes to subrogation.If the at-fault driver is uninsured, the law allows the UM carrier to be subrogated to the amount that it paid to the insured for the UM loss.NRS 690B.020(5) says: 5.  If payment is made to any … [Read more...]

Nevada Disallows Subrogation of the First-Party Med Pay Carrier Against Its Insured’s Third-Party Recovery

Jimmie Brown suffered injuries in an auto accident.  He turned to his insurance company, Allstate, to collect medical payments benefits.  Allstate’s policy included a subrogation provision.  The policy said that Allstate was subrogated to Brown’s right to recover against the tortfeasor to the extent that it had paid him med pay benefits.  Allstate notified the tortfeasor’s insurance, Farmers, of its subrogation interest.Once he finished treating, Brown then sent his demand to Farmers hoping … [Read more...]

The Statute Of Limitations For An Underinsured Motorist Claim Does Not Start To Run Until The Carrier Has Been Called On To Satisfy Its Duties Under The Policy And Has Failed To Do So

Most lawyers can recite by memory the number of years available under statute to bring certain types of lawsuits.  In Nevada, the statutes of limitation are found in Chapter 11 of the Nevada Revised Statutes.Since insurance policies are contracts, the right to bring an action for breach of a policy is generally limited to six years.  See NRS 11.190(1)(a).  In Grayson v. State Farm Mut. Auto. Ins., 971 P.2d 798 (1998) the Nevada Supreme Court faced the question of the when this six-year … [Read more...]