Court Denies Uninsured Motorist Benefits, Awards Insurer $400

An insurance provider filed a lawsuit against a driver it insured following a motor vehicle accident on April 26, 2019. The plaintiff, Sentry Select Insurance Company, sought a declaration that the defendant driver, an employee of Road Start Transport, Inc., was not entitled to uninsured motorist benefits for the incident.

The plaintiff claimed that its uninsured motorist policy required physical contact with another vehicle for coverage, and such contact did not occur in a manner that caused the accident. The defendant failed to respond to the lawsuit after it was filed on December 22, 2019, leading to a motion for default judgment by the plaintiff.

On March 5, 2021, the court entered a default judgment against the defendant. The court adopted a magistrate judge's recommendation, finding that no "occurrence" within the policy terms triggered coverage and that the insurance company had no duty to indemnify or pay benefits. The court also awarded the plaintiff $400 in attorneys' fees and costs.