Kearny County Hospital v. Allstate Insurance

Green, J.;

Kearny County Hospital and St. Catherine Hospital (collectively appellees) filed this case against Allstate Insurance Co. (Allstate) under K.S.A. 65-408 after learning that Allstate, in an interpleader action, compensated the appellees’ patients for their injuries without paying the appellees’ hospital hens. The appellees’ two patients each settled for $13,967.21 of Allstate’s $50,000 policy proceeds, while six other claimants divided the remainder of the proceeds. The appellees argued that under K.S.A. 65-408, Allstate was hable to them in the amount of $50,000. The trial court…