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Georgia Court Says No Double Dip on Auto Policies After Accident

October 27, 2021

The injured party in an automobile collision cannot double-dip on insurance coverage simply because she calls the payment from the other driver’s policy “punitive damages,” a Georgia appeals court has decided.

“The mere fact that Nay’s limited release included a statement allocating a portion of her $100,000 recovery to punitive damages did not then shift the payment of those punitive damages to Allstate as her UM (uninsured motorist) carrier,” the appeals court’s Fifth Division said in Allstate v. Laura Cochran Nay, an opinion posted Oct. 22.

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