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Location matters: Insurance award in auto case jumps from $75K to $2 million

It's all about location, a federal district court said, finding that a rental truck was principally garaged in Virginia, not Maryland, increasing insurance coverage to $2 million from $75,000.

By Steven A. Meyerowitz, Esq., Director, FC&S Legal | Updated on October 21, 2016
A tractor trailer driver's recovery in an auto accident jumped significantly based on a court's decision on where the truck was "primarily garaged." (Photo: iStock)

A federal district court in Virginia has ruled that a rental truck had been “principally garaged” in Virginia rather than in Maryland, and that the driver therefore was entitled to $2 million in underinsured motorist benefits rather than $75,000.

After Robert Hall was injured in an automobile accident, he filed a lawsuit in a Virginia state court styled as Hall v. El-Ibrahimy (Ibrahimy Lawsuit). The defendant in the Ibrahimy Lawsuit had automobile insurance coverage with bodily injury limits of $25,000; Hall expected that his damages would exceed $25,000, and he sought underinsured motorist (UIM) benefits under an insurance policy that had been issued by Travelers Property Casualty Company of America.

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