Liberty Mutual sues, claims arbitration award was excessive

By Whitney Brakken | Dec 26, 2013

An insurance company is suing over claims an arbitration award was excessive.

Liberty Mutual Insurance Co. filed a lawsuit Dec. 16 in the Cook County Circuit Court against Cindy Scolaro, individually and as the mother and next-of-friend to Sofia Scolaro.

The complaint states on Oct. 20, 2008, Cindy Scolaro had a Liberty Mutual insurance providing uninsured motorist coverage of $500,000 and was involved in a low impact automobile accident with an uninsured driver.

Scolaro was pregnant at the time of the accident and claims it caused an abruption of the placenta, which resulted in the premature birth of her daughter, Sofia, and her daughter's subsequent developmental problems.

Liberty Mutual asserts that Scolaro made a demand to it for uninsured motorist coverage, which went to arbitration and an award of $250,000 was entered in Sofia's favor.

According to the suit, the insurance company is dissatisfied with the award becuase it believes it is excessive and as such, has invoked the rejection clause contained in its policy.

Liberty Mutual wants the court to declare that it complied with the policy, declare the rejection clause is valid and enforceable and allow the action to proceed to a  a jury on the issues of liability and damages.

The insurance company is represented in the case by attorney Chantal N. Kazay.

Cook County Circuit Court Case No. 2013L014150.

This is a report on a civil lawsuit filed at the Cook County Courthouse. The details in this report come from an original complaint filed by a plaintiff. Please note that a complaint represents an accusation by a private individual, not the government. It is not an indication of guilt, and it represents only one side of the story.

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