INSURANCE LAW
Supreme Court of Alaska (2024)
Lauren Beizer
In Fischer v. Kenai Peninsula Borough School District, 548 P.3d 1086 (Alaska 2024), the supreme court held that a teacher raised a genuine dispute of material fact regarding damages, therefore, reversing and remanding the Superior Court of the State of Alaska’s summary judgment order regarding the teacher’s contract damages. (Id. at 1094). However, the supreme court did affirm the Superior Court of the State of Alaska’s summary judgment order regarding breach of contract. (Id.). A teacher who was currently employed by the Kenai Peninsula Borough School District and insured by the district’s self-funded health plan was injured in November 2015 in a car accident caused by a third party. (Id. at 1088). The insurance plan included provisions for subrogation and reimbursement if the insurance received any compensation from a third party in an accident. (Id.). After the teacher received a large settlement and was not able to waive the reimbursement clause, the school district filed a lawsuit alleging that the teacher failed to comply with the reimbursement provisions in his insurance plan. (Id. at 1089). The Kenai Peninsula Borough School District ultimately filed for summary judgment on the grounds that the teacher breached the contract since he failed to reimburse his insurance plan for settlement money he received from third-party insurance companies. (Id.). The court granted summary judgment and the teacher filed a motion for consideration, which was in turn denied before the court entered its final judgement, awarding the district damages which the teacher then appealed on ground of errors in judgment on breach of contract and damages. (Id. at 1090). The court reasoned that a genuine factual dispute existed as to whether the material issue of certain medical expenses related to the teacher’s car accident given the spreadsheet and affidavit which the teacher presented in court. (Id. at 1093). Affirming in part, and reversing and remanding the lower court’s decision, the supreme court found a genuine dispute in material fact for the teacher and affirming the district’s summary judgment order regarding contract damages. (Id. at 1094).
