Opinion ID: 1606363
Heading Depth: 1
Heading Rank: 1

Heading: Admission of Evidence of Collateral Benefits Payments

Text: Defendants agree with plaintiff about the collateral source rule stated in 22 Am.Jur.2d, Damages, § 206:    [A]s a general rule, the fact that the plaintiff received gratuitous medical care, continued salary or wage payments, proceeds from insurance policies, or welfare and pension benefits, will not be taken into account in computing damages.    Defendants attempt to distinguish this court's decision in Vest v. Gay, 275 Ala. 286, 154 So.2d 297. There it was said:    Appellants concede that proof that an insured has been compensated for a loss by an indemnity insurer is generally not material and is inadmissible, but appellants here urge it should be admissible as having a direct bearing upon the issue of appellee's injuries, especially since appellee allegedly may be malingering or faking illness. While this argument is somewhat ingenious, we cannot deviate from the settled rule in our jurisdiction and declare this to be a proper purpose to enable admission into evidence of the fact of indemnity insurance. Sturdivant v. Crawford, 240 Ala. 383, 199 So. 537; Long v. Kansas City, M. & B. R. Co., 170 Ala. 635, 54 So. 62. A strong analogy supporting this conclusion is found in Phoenix Ins. Co. of New York v. Leonard, 270 Ala. 427, 119 So.2d 217. The same contention was there made but rejected. To accede to appellants' argument would tend to either emasculate the rule or render it unworkable. (emphasis added) Defendants say that benefits received from a source wholly independent of the wrongdoer should not be taken into account in computing plaintiff's recoverable damages; such evidence is not relevant, its existence renders neither more probable nor less probable any material fact in the case. They are absolutely correct. However, they are incorrect when they say that where the purpose of such evidence is not to reduce damages but to show that plaintiff's disability is not as extensive as claimed, and that he possesses a motive quite independent of his alleged injuries for exaggerating the extent of his disability, the evidence is relevant. The reason underlying the exclusion of collateral source payments is that, weighing the prejudice to plaintiff from admitting that evidence against its value and weight to prove motive or malingering, its exclusion is warranted by the availability of better, less prejudicial evidence on this issue. An excellent discussion of this subject is cited by Gribble and found in 47 A.L.R.3d at p. 238. This court is committed to the rule of exclusion of collateral source payments. Vest v. Gay, supra. In this case there was other evidence available on the issue of motive that would not prejudice plaintiff by its admission; the admission of collateral source payments was prejudicial and the court erred to reversal in admitting evidence of them. This case is not distinguishable from Vest.