Gibson Law Firm, PLLC was recently victorious for a client before the Arkansas Supreme Court and Court of Appeals. The firm represented a man named Stuart Parsons in a suit for Uninsured Motorist Benefits owed to him by his own insurance company, Southern Farm Bureau Insurance Company. Mr. Parson was seriously injured while riding his motorcycle by a man with no car insurance. Mr. Parsons made a claim for his policy limits of $50,000.00, which was far less than his medical expenses. Instead of honoring the insurance contract, Southern Farm Bureau interpled the money in Pulaski County Circuit Court and gave notice to medical providers to make a claim for the money. In effect, the insurance company threw its own insured's money into a trough and invited the hogs to come and be slopped.
We sought to dismiss the interpleader, and argued for the court to honor the insurance contract and immediately award all of the policy proceeds to Mr. Parsons. The court agreed and held that Southern Farm Bureau should have instead looked out for the well-being of its insured and immediately paid Mr. Parsons his money. Mr. Parsons was awarded summary judgment against Southern Farm Bureau, as well as pre- and post-judgment interest, attorney's fees, and 12% penalty. During the pendency of the case, Southern Farm Bureau sought a writ of prohibition from the Arkansas Supreme Court and was denied. Ultimately, once a final judgment was entered, Southern Farm Bureau appealed to the Arkansas Court of Appeals.
The Court of Appeals ruled in favor of Mr. Parsons and affirmed the trial court's rulings. Southern Farm Bureau should have paid Mr. Parsons his insurance proceeds instead of trying to pay them out to medical providers who had not taken any steps to protect their own rights or interests. The court ultimately ordered all proceeds payable immediately to Parsons and awarded Gibson Law Firm, PLLC its full statutory attorney's fees and costs.
Here at Gibson Law Firm, we are well versed in ways to make insurance companies keep their promises. If you are experiencing problems with your insurance company, or if your carrier will not keep their promises, call us today. Southern Farm Bureau turned a $50,000.00 policy into nearly twice that. Call today if you need help in making your insurance company follow the law and keep its promises.