Pennsylvania Eastern District Federal Court Rules That New Stacking Forms Required Whenever Higher Limits of UM/UIM Benefits Purchased (Mem. Op.)

In the case of Barnard v. The Travelers Home and Marine Ins. Co., No. 17-00290 (E.D. Pa. Feb. 5, 2018 McHugh, J.) (Mem. Op.), the court addressed the issue of whether a carrier was required to obtain an additional written waiver of stacking of UIM benefits where the insured had signed a waiver of stacked benefits when the policy was originally issued but, two (2) years later, sought to purchase a higher level of UIM benefits.  

According to the Opinion, the UIM benefits originally purchased were in the amount of $50,000.00 and stacking was rejected on two (2) vehicles.   When the insured later secured increased UIM limits, a new rejection of stacking form was never secured.  

In his Memorandum Opinion, Judge McHugh held that a new rejection of stacking form was required when the UIM benefits were increased since, under the judge’s review of the applicable statutes, a carrier is required to secure a rejection of stacking from the insured whenever higher UIM policy limits are purchased.  

Anyone wishing to review this decision may click this LINK.

I send thanks to Attorney Scott B. Cooper of the Harrisburg, Pennsylvania law offices of Schmidt Kramer, P.C. for bringing this case to my attention.