Wisconsin Court Rejects 'Gig Delivery' Exclusion
A Wisconsin court rejected an insurer’s “gig delivery” exclusion as ambiguous, impacting claims related to gig economy drivers. This legal ambiguity highlights the need for data/evidence solutions to help SIU and claims teams interpret policy language.
The Wisconsin Court of Appeals decision centered on a specific case where an insurer, attempting to deny coverage based on a "gig delivery" exclusion, was found to have used ambiguous language. This ambiguity led the court to side with the policyholder, raising questions about the clarity and enforceability of similar exclusions in other insurance policies. The ruling has implications for insurers covering drivers for companies like Uber Eats, DoorDash, and Grubhub in Wisconsin. Insurers may need to review and revise policy language related to "gig delivery" exclusions to ensure they are clearly defined and unambiguous, potentially leading to increased legal and administrative costs. This decision underscores the importance of precise language in insurance contracts, particularly as the gig economy continues to grow and evolve. Data and evidence solutions may play a crucial role in helping insurers to better understand and manage the risks associated with gig delivery services, and accurately interpret policy language.
