Pennsylvania Supreme Court Agrees to Review the Validity of Unlisted Resident Driver Exclusions in Automobile Policies

In an Order handed down yesterday in the case of Safe Auto Ins. Co. v. Oriental-Guillermo, No. 791 MAL 2017 (Pa. June 4, 2018), the Pennsylvania Supreme Court agreed to look at the validity of unlisted resident driver exclusions in automobile insurance policies.  To paraphrase, the court agreed to decide the following issues:  

(1)  Did the Superior Court err in upholding the “unlisted resident driver exclusion” in a personal auto policy as valid and enforceable and not in conflict with the MVFRL; and 

(2)  Is the “unlisted resident driver exclusion” inherently in conflict with public policy in Pennsylvania as embodied in Section 1786 of the MVFRL, which implicitly allows for permissive users of an insured vehicle to also be considered insureds under the owner’s policy?

Click HERE to view the Supreme Court's Order.

 

I send thanks to Attorney Scott Cooper of the Harrisburg, PA office of Schmidt Kramer for bringing this case to my attention.