Philadelphia Indemnity Insurance v. Morris

LAMBERT, Chief Justice.

This case presents questions of first impression in this Commonwealth regarding the relationship between workers’ compensation benefits and underinsured motorist coverage. The first issue is whether KRS 342.690(1), the exclusive remedy provision of the Kentucky Workers’ Compensation Act, bars an employee from recovering underinsured motorist (“UIM”) benefits from his employer’s motor vehicle insurance policy. The second issue is whether a provision in the employer’s UIM endorsement, which requires that workers’ compensation benefits be reduced or “set off’ against the…