Facts

The decedent, Li Zhu Peng, 67, was riding her bicycle at the intersection of 2nd Avenue and E. 12th Street in Oakland. She waited at the intersection for the green traffic signal and then proceeded south on 2nd Avenue when she was struck by a van. The driver of the Van was proceeding north on 2nd Avenue and made a left turn onto East 12th street without yielding to the bicyclist. The impact threw Peng off her bicycle, causing her head to strike the ground.

Peng was rushed to the hospital where she was diagnosed as having sustained a depressed occipital skull fracture and a traumatic brain injury. Unfortunately, life-saving efforts at the hospital were unsuccessful and Peng died from her injuries.

The only surviving family member of Peng was her daughter who resides in China. Despite the geographical distance, they maintained a close and loving relationship. There was not much in the way of financial support as Peng was near retirement.

Wrongful death claims were presented against the Van driver and his employer.

There was an insurance coverage dispute. It turned out the van was rented by the employee because the company van was not in service. The company's insurer claimed the rented van was not covered under the company's insurance policy.

PLAINTIFFS' CONTENTIONS: Plaintiffs alleged the van driver was in the course and scope of his employment making deliveries when the incident took place. This would make the employer vicariously liable for the negligence of the driver.

Insurer

Repwest Insurance Company contributed $15,000 on behalf of the driver and Progressive Express Insurance Company $985,000 on behalf of the employer

Result

The case settled for $1 million (policy limits). Repwest Insurance Company contributed $15,000 on behalf of the driver and Progressive Express Insurance Company $985,000 on behalf of the employer