A FAILURE TO REPORT CAR ACCIDENT EXCUSES COVERAGE

If you decide to file a claim, time may be of the essence

Matter of Progressive Direct Ins. Co. v Ostapenko, 2019 NY Slip Op 07586, Decided on October 23, 2019, Appellate Division, Second Department:

"The respondent, Irina Ostapenko, allegedly was injured when the vehicle she was driving was struck in the rear by another vehicle that then left the scene. The vehicle Ostapenko was driving was insured by the petitioner. Ostapenko filed a request for uninsured motorist arbitration. The petitioner commenced this proceeding, inter alia, to permanently stay arbitration. In an order dated August 7, 2018, the Supreme Court, among other things, in effect, denied that branch of the petition which was to permanently stay arbitration. The petitioner appeals.

The Supreme Court should have granted that branch of the petition which was to permanently stay arbitration. The subject insurance policy required the insured or someone acting on the insured's behalf to report the collision within 24 hours or as soon as reasonably possible to a "police, peace or judicial officer or to the Commissioner of Motor Vehicles." Ostapenko's failure to comply with this requirement in the absence of a valid excuse vitiates coverage (see Matter of Country-Wide Ins. Co. v Chaudry, 171 AD3d 1052; Matter of Geico Ins. Co. v Silverio, 171 AD3d 924; Matter of Government Empls. Ins. Co. v Baik, 94 AD3d 888, 889; Matter of Eagle Ins. Co. v Brown, 309 AD2d 749, 750; Matter of Interboro Mut. Indem. Ins. Co. v Napolitano, 232 AD2d 561, 562)."