State Farm Mutual Automobile Insurance v. Ramsey

The issue in this declaratory judgment action is the applicability of the multiple limits provision of an automobile insurance policy to a cause of action for negligent infliction of emotional distress when the bodily injury limit for one person has been exhausted. Barbara B. Hellebrand was insured by State Farm Mutual Automobile Insurance Company. The policy provided liability limits of Twenty Five Thousand Dollars ($25,000) for bodily injury to each person and Fifty Thousand Dollars ($50,000) for bodily injury for each accident. Bodily injury is defined in the policy as “bodily injury to a…