Insurance Company Loses $200K Dispute Over Alcohol

LOWELL, Mich. (AP) – A dispute over four words will cost an insurance company about $200,000.

A federal appeals court has ruled in favor of a man in the Grand Rapids area who suffered serious injuries during a motorbike crash in 2013. Beau Heimer was 22 at the time and had been drinking alcohol before a game of chicken in rural Kent County.

Companion Life rejected Heimer’s claim for medical expenses, saying the policy didn’t cover injuries from the “illegal use of alcohol.”

But the appeals court says Heimer’s use of alcohol wasn’t illegal. The court said Tuesday that riding the motorbike after drinking was illegal.

Judge David McKeague says the insurance company “must bear the consequences” of how the policy was written.

© Copyright 2018 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.

We and our partners use cookies to understand how you use our site, improve your experience and serve you personalized content and advertising. Read about how we use cookies in our cookie policy and how you can control them by clicking Manage Settings. By continuing to use this site, you accept these cookies.