Traynum v. Scavens

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In April 2007, Loretta Traynum purchased an automobile insurance policy from Progressive Direct Insurance Co. through Progressive's website. Instead of selecting one of the preset packages Progressive offered, all of which contained UIM coverage by default, Traynum created a custom package which did not include UIM coverage. Traynum also increased the preset deductibles for comprehensive and collision coverages. The result of these changes was a lower monthly premium. Traynum then electronically signed a form acknowledging Progressive offered her optional UIM coverage and that she rejected that coverage. Thereafter, in November 2007, Traynum and Cynthia Scavens were involved in an automobile accident, from which Appellants Traynum and and her husband Leonard claimed more than $175,000 in damages. Appellants brought claims against Scavens for negligence and loss of consortium, which were settled for $100,000, the limits of Scavens's liability coverage. As the settlement did not fully satisfy Appellants' damages, Appellants also brought a declaratory judgment action against Progressive claiming Progressive did not make a meaningful offer of UIM coverage to Traynum, as required by law, and asking the court to reform Traynum's policy to include UIM coverage in the amount of the policy's liability limits. Appellants appealed the trial court's grant of summary judgment to Progressive, arguing the trial court incorrectly held that Progressive made a meaningful offer of underinsured motorist (UIM) coverage via its website. Finding no reversible error, the Supreme Court affirmed. View "Traynum v. Scavens" on Justia Law