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On Valentines day, 2024, Client Kayleigh Albright was riding as a front seat passenger while her fiancé, Ricardo Robles, was driving when Ricardo made an improper left-hand turn and failed to yield to an oncoming vehicle that was traveling about 45 mph. It was a violent collision and we were able to obtain dash cam video which became a powerful exhibit at trial. Ms. Albright sustained two herniated discs in her neck, a low back injury, shoulder injury and a concussion. She received chiropractic care, physical therapy and had a cervical epidural injection and lumbar cortisone injection. Her medical bills were $45,321.00.
Mr. Robles had purchased an insurance policy limit of only $50,000.00 from Allstate and Ms. Albright had purchased $25,000.00 of underinsured motorist coverage on her own vehicle from Allstate. Yearin law made a settlement demand for the policy limits totaling $75,000.00. Allstate refused to tender Mr. Ricardo’s $50,000.00 limit claiming that per Allstate’s “family step down” provision, Ms. Albright was only entitled to $25,000.00. Allstate’s family step down provision provides:
“The limits of liability shown on your Policy Declarations are the maximum Allstate will pay for any single accident. There is, however, one scenario in which the minimum financial responsibility limits-$25,000 per person and $50,000 per accident for Bodily Injury and $15,000 per accident for Property Damage-will apply: – This scenario occurs when you, or another person insured by this policy, are involved in an accident and bodily injury is caused to any person who is related to you and lives in your household. In this case, Allstate will provide the minimum limits of liability required by the state of Arizona for Bodily Injury coverage”.
Yearin Law advised Allstate that Ricardo Hernandez and Kayleigh Albright were merely engaged and not “related” so the family step down clause was not applicable. Yearin further advised Allstate that even if they were related when the collision occurred [which they were not] there is a long line of cases that hold an insurer’s attempt to exclude or limit coverage for a family member residing in the same household is improper because it violates the reasonable expectations of the insured. This is because an insured’s reasonable expectation is that the insurance they purchase will provide at least the same amount of coverage for family members as it would for non-family member strangers.
All Allstate had to do was tender the extra $25,000.00 to resolve the case. But Allstate refused and this was a big mistake. Yearin was forced to sue and personally serve Mr. Robles with a lawsuit based on Allstate’s failure to tender the policy limit. This is when Allstate dropped the ball a second time. Instead of Allstate hiring an attorney for Mr. Robles to defend the lawsuit, Allstate missed the deadline to file an answer and Yearin was able to obtain an entry of default against Mr. Robles. Allstate’s attorneys intervened and filed a motion to set aside the entry of default claiming that Allstate’s failure to timely file an answer amounted to “excusable neglect” . Yearin filed a response opposing Allstate’s motion to set aside the default. The Honorable Mary C. Cronin held oral arguments on August 18, 2025, and ruled in favor of Yearin Law by denying Allstate’s motion to set aside the default.
Next, Judge Cronin scheduled a damages trial on September 11, 2025. At the trial, Yearin called Ms. Albright who was a very good witness and did an excellent job testifying regarding the extent of how her neck and back injury and how it impacted her on essentially a daily basis. Yearin had met with Ms. Albright on a couple of occasions to prepare her for trail. Yearin also called Ms. Albright’s treating physician, Dr. Chance Moore, at trial who also was an excellent witness. When defense counsel tried to cross-examine Dr. Moore claiming that Ms. Albright cervical neck herniations pre-existed the car crash, Dr. Moore reviewed the MRI films during trial and testified that the MRI films showed an acute herniated disc and not disc degeneration.
In closing arguments, defense counsel argued that Ms. Albright’s injuries were not permanent and were minor and requested that the Court award her $100,000.00 or less. Yearin argued that Ms. Albright’s injuries were permanent and impacted Ms. Albright on a daily basis. Yearin asked for a verdict of $598,790.00 and Judge Cronin agreed and entered a verdict in favor of Ms. Albright in the amount of $598,790.00!!!
Instead of tendering the $25,000.00, Allstate is now facing a judgment almost 25 times that amount and will have to defend an insurance bad faith lawsuit that Yearin Law will be prosecuting.
