Opinion ID: 1860316
Heading Depth: 1
Heading Rank: 8

Heading: Applicability to Umbrella Policies

Text: On November 4, 1983 in Southern American Insurance v. Dobson, 441 So.2d 1185, 1190 (La.1983), this court found on rehearing that the UM statute, LA.REV. STAT. § 22:1406, was applicable to umbrella policies. State Farm seemed to assert in oral argument that because the rejection in this case was signed on July 31, 1983, before Southern American was handed down, the rejection did not have to meet the statutory requirements. This is incorrect. The court in Southern American only interpreted the coverage of the statute and did not create new law. In fact, the court held therein that umbrella policies obtained well before the Southern American holding provided UM coverage. For the foregoing reasons, the judgment of the court of appeal affirming the trial court's granting of State Farm's motion for summary judgment is reversed. The case is remanded to the trial court for proceedings consistent with this opinion. REVERSED, AND REMANDED.