Second Circuit sides with State Farm in class action over no-fault coverage

By Jessica M. Karmasek | Aug 28, 2013

NEW YORK CITY (Legal Newsline) -- A federal appeals court on Monday agreed to dismiss a lawsuit filed against State Farm Insurance Company over its no-fault car insurance coverage.

The U.S. Court of Appeals for the Second Circuit, in a two-page summary order, affirmed a decision of the U.S. District Court for the Eastern District of New York.

In 2010, plaintiff Dominick Servedio brought the class action over premiums charged for State Farm's Additional Personal Injury Protection, or PIP.

PIP, also known as no-fault insurance, is an extension of car insurance available in some states. It covers medical expenses and, in some cases, lost wages and other damages.

Servedio argues that State Farm charged a premium for the protection; however, he was not provided the additional coverage after being involved in a Nov. 8, 2008 car accident.

The New York federal court ended up dismissing Servedio's complaint in its entirety.

Servedio appealed to the Second Circuit, which agreed with the lower court that the plaintiff could not argue he overpaid the insurer.

"Having conducted a de novo review of the record in light of these principles, we conclude that the District Court did not err, substantially for the reasons set forth by the District Court in its decisions of Sept. 6, 2012 and Dec. 18, 2012," the federal appeals court wrote.

"We have reviewed all of plaintiff's arguments on appeal and find them to be without merit."

From Legal Newsline: Reach Jessica Karmasek by email at jessica@legalnewsline.com.

More News

The Record Network