American Family Mutual Insurance Company has been ordered by a Denver judge to send out notices to 17,500 insureds and potentially reopen claims. Colorado had personal injury protection, commonly called PIP coverage, for a number of years. Apparently American Family discounted future medical bills and wage loss as speculative. Now, they need to reopen these claims.
This is another example of an insurance company not taking care of its own insureds. I still do not understand what has changed. When I was taught claims handling, the basic rule was to look FOR coverage. We were to try to help our insureds. Now, it seems that the rule is to look to AVOID coverage.
This is more evidence of why the insurance industry needs to be kept in check. If they treat their own insureds this way, imagine how they treat everyone else!