Zappa v. St. Paul Fire & Marine Insurance Co.

We address whether an insurance policy’s underinsured-motorist arbitration provision is contrary to public policy when it allows the parties to demand a trial de novo if the arbitration award is in excess of the minimum liability set forth in the Illinois Safety and Family Financial Responsibility Law (625 ILCS 5/7 — 203 (West 2002)). We hold that such a provision does not violate public policy, and therefore we reverse the circuit court’s order dismissing plaintiff’s complaint and remand for further proceedings.

Plaintiff was involved in an automobile accident on May 4, 1999, and suffered…