Facts

On Oct. 23, 2008, Andrea Racko was driving her vehicle with her children, Alexander and Sophia, and made a right turn at an intersection when an unlicensed and uninsured driver rear-ended Racko's car. Racko's vehicle was pushed into a rock wall across the intersection. She later sued the other driver and the vehicle owner. After the case against the other driver was dismissed, Racko filed a claim with Government Employees Insurance Co. (GEICO) under a supplementary-uninsured-motorist provision in her insurance policy. She subsequently sued GEICO, and the matter went to arbitration.

PLAINTIFF'S CONTENTIONS:
Plaintiff alleged that GEICO constantly delayed in settling the matter, and refused to offer above $7,000. Plaintiff claimed GEICO caused the case to last for another two years after new counsel took over the case.

DEFENDANT'S CONTENTIONS:
Defendant argued that neither Racko nor her children sustained serious injuries due to the accident. Further, GEICO claimed Racko took too long to treat her claimed injuries and that there were no long-term effects from the accident.

Damages

Racko sought $100,000 at the policy limit.

Injuries

Plaintiff suffered a contusion, emotional distress, head injury, post-traumatic stress disorder, and soft tissue injury.

Result

The arbitrator awarded plaintiffs $72,500, of which Racko received $70,000 and her children received the remainder.