Aetna Casualty and Surety Company v. Donna

In this appeal, we are again called upon to examine the scope of automobile insurance coverage afforded under uninsured and
underinsured motorist policies issued pursuant to 18 Del.C. § 3902. The case concerns the construction of language
defining the limits of underinsured coverage in a policy issued by the Aetna Casualty and Surety Co. ("Aetna"). Aetna appeals
from a decision of the Superior Court that adopted the interpretation of the policy advanced by appellee, Donna Kenner ("Kenner").
1 The court held that the policy requires that monies recovered from a tortfeasor should be deducted from the total damages
suffered by an insured before Aetna's liability under the uninsured/underinsured coverage of the policy is applied. Aetna
contends that the amounts recovered from the tortfeasor should be subtracted directly from the policy limits that set a cap
on Aetna's liability to its insured. We find that Aetna's interpretation is grounded in one clear and unambiguous language
of the policy. We also view this interpretation as consonant with the public policy underlying section 3902. Thus, we reverse
the judgment of the Superior Court. I