1. Case Evaluation – Auto Track MAXIMIZING “Subrogation Recovery Opportunities” requires RELATIONSHIPS and RESOURCES Working Together… Getting Results… Customer Focus 2011 NASP Subrogation Litigation: Skills and Management Conference

2. Case Evaluation – Auto Track Carrier Considerations Assignment to Law Firm Litigation & pre Mediation 2011 NASP Subrogation Litigation: Skills and Management Conference

3. Our Motto : Smart Cars… Buy Smart… Drive Smart! SMART Insurance Company We Insure Smart Cars

4. 2011 NASP Subrogation Litigation: Skills and Management Conference Piano Street Key Street

5. 2011 NASP Subrogation Litigation: Skills and Management Conference Max Mento (Insured) Auto Policy Coverages Collision Coverage $1000 Deductible Medical Payments Coverage $5000 Liability Coverage $200,000

6. What are Carriers Damages? _ 2011 NASP Subrogation Litigation: Skills and Management Conference Physical Damages: Total Loss * ACV + Tax +License = $19,328 * Less Net Salvage $980 * Less Deductible $1000 * Total Damages $17,348 Medical Payments: * Reasonable & Necessary $5000

7. * $1000 Collision Deductible * Bodily Injury Tort Claim * Personal Property Celebrity Mementos What are Mento’s Damages? _ 2011 NASP Subrogation Litigation: Skills and Management Conference

8. Identify Responsible Parties Negligence Standard Assessing Liability/Negligence Joint & Several Witness Assessment (Insured Mento) Carrier Considerations Carrier Considerations 2011 NASP Subrogation Litigation: Skills and Management Conference

9. Assessing Damages Car Damages Injury Damages Made Whole Implications Settlement Efforts Decision to Pursue – Assign Counsel Carrier Considerations Carrier Considerations 2011 NASP Subrogation Litigation: Skills and Management Conference

10. Assign to Law Firm “ We Want 100% ”

11.  Checklist ◦ Insured’s statements ◦ Police report ◦ Damages Proofs ◦ Photos ◦ Liability decision  Available coverage  Responsible Parties identified? 2011 NASP Subrogation Litigation: Skills and Management Conference Review File Assignment

12. Carrier Expectations & Directions  Fault of Responsible Party(s)  Demands  Settle or File Suit  Communication 2011 NASP Subrogation Litigation: Skills and Management Conference

13. Case Evaluation  Carrier Perspective ◦ Liability, damages, defenses, costs, collectability  Pending Coverage’s ◦ Made Whole  Defendant’s Perspective ◦ Liability, defenses, coverage limitations, and other actual and potential claims 2011 NASP Subrogation Litigation: Skills and Management Conference

14. Potential Competing claims  Max Mento (Ded, Mementos & BI)  Jane Jones (BI) Alfred’s passenger  Tommy Jones (BI) Alfred’s passenger  Casey Jones (Subrogation, Ded, BI?)  Edna Edwards (BI) in B&B restroom serious burns  B&B store (PD & lost income)  B&B’s insurance carrier ($2 million)  Other stores damaged by fire ($5 million less to $2 million paid)  Betty bystander (BI and death) clean as a whistle window cleaner  DEF insurance company workers compensation $3 million  ABC insurance company $1 million for common areas  Multiple insurance carriers for benefits paid to other stores for property damage  Multiple other stores potential lost income 2011 NASP Subrogation Litigation: Skills and Management Conference

15. Potential Affirmative Defenses for Albert and Widgets R US  Signal light failure  Brake failure  Speed  Course and scope of employment  Max Mento illegally selling products from trunk 2011 NASP Subrogation Litigation: Skills and Management Conference

16. Special Considerations  Non-Standard auto case  Lawyer Capabilities  Law Firm Capabilities  Adjuster Capabilities 2011 NASP Subrogation Litigation: Skills and Management Conference

17. Pre-suit Investigation ◦ Call Max Mento  Representation  Witness ability & Availability  Loss Knowledge  Criminal Background  Litigation Expectations & Intent 2011 NASP Subrogation Litigation: Skills and Management Conference

18. Pre-Suit Investigation, Con’t  Additional Contacts ◦ Witnesses ◦ OIC adjuster ◦ Responsible parties ◦ Opposing counsel  Review ◦ OIC demand responses ◦ Asset check Albert, Jones and Widgets R US 2011 NASP Subrogation Litigation: Skills and Management Conference

19. Communication with Client  Potential issues  Pre-suit workup  Settle or Litigate?  Litigation Strategy ◦ pre-suit mediation/post-suit mediations 2011 NASP Subrogation Litigation: Skills and Management Conference

20.  Excess limits  Pro-rata  Made whole  Excess collectability  Number of plaintiffs  Hospital lien’s  Intervening claims and/or consolidation  Litigation cost Potential Issues 2011 NASP Subrogation Litigation: Skills and Management Conference

21. Strategy for Pre-Suit mediation  Identify defendants, counter defendant’s, counter plaintiffs, other current claims  Assess collectability with judgment outcome  Review statements  Review Adjuster & Attorney notes  Know settlement range  Request adjuster presence with settlement authority  Discuss with adjuster strengths & weaknesses of the case  Decide on mediator  Prepare individual or joint mediation statement  Consider diagrams & reports to tell the story 2011 NASP Subrogation Litigation: Skills and Management Conference

22. Strategy for post-suit mediation  Additional strategies ◦ Review discovery, motions & orders ◦ Know where attorneys stand ◦ Prepare liability, damage & settlement matrix ◦ Review offers of judgment ◦ Coordinate mediator with vast experiences (Judge) 2011 NASP Subrogation Litigation: Skills and Management Conference

23. Case Evaluation – Auto Track MAXIMIZING “Subrogation Recovery Opportunities” requires RELATIONSHIPS and RESOURCES Working Together… Getting Results… Customer Focus 2011 NASP Subrogation Litigation: Skills and Management Conference