Cassel v. Schacht

The facts are set forth in the opinion of the court of appeals. We agree with the result reached by that court. Plaintiffs argue, and we acknowledge, that the statute does not specifically cover the issue and that A.R.S. § 28-1170(B)(2) does require all policies to cover "the liability imposed by law for damages arising out of the ownership, maintenance or use of the motor vehicle." Plaintiffs are also correct in arguing that subsection E of A.R.S. § 28-1170 does not authorize exclusion of coverage for punitive damages. However, as the court of appeals noted, the express requirement of § 28-1170(B)(2) is that the policy contain "[f]ifteen thousand dollars [coverage for] bodily injury to or death of one person in any one accident" and "thirty thousand dollars because of bodily injury to or death of two or more persons in any one accident."