Did You Know That Your Insurance May Not Apply If You Injure a Bike Rider Opening a Taxi Cab Door?

Take this scenario. You live in New York City. You get into a taxicab. You reach your destination. You open the door and a bicycle rider crashes into the door. The rider is seriously injured. The police arrive and fill out an accident report which makes it look like both you and the taxi are responsible for the accident. The bike rider is taken to the hospital. A short time later you are served with a summons and complaint.

Since you were in a taxi, the first thing you do is send the summons and complaint to the taxi company. In a matter of days, the taxi’s insurance company sends you a letter advising that you have no insurance coverage under the taxi policy for the accident.

You then look for your insurance policy. You have a homeowner’s policy with limits of $5 million from a very reputable insurance company. Since you do not have a car, you do not have an auto policy. You contact your broker who gives notice of the lawsuit to your insurance company. The insurance company reviews the matter and writes you a letter advising you that you have no insurance coverage for the accident under your homeowner’s policy. That means that if you are found liable in the lawsuit you will have to pay any judgment against you out of your own pocket.