Delaware’s Long-Arm Statute Does Not Confer Specific Jurisdiction for First Party UIM Claim

The plaintiff/appellant, a Maryland resident, was injured in an automobile collision in Delaware and sought underinsured motorist (UIM) benefits under a Maryland automobile policy issued to him by State Farm. The Superior Court held that Delaware’s long-arm statute, 10 Del. C. § 3104(c), does not confer specific jurisdiction over State Farm for Berry’s first-party UIM claim.

Berry was injured in an automobile accident in Delaware. At the time of the accident, Berry resided in Maryland, and his vehicle was insured under a Maryland State Farm policy that provided UIM coverage for accidents occurring anywhere in the United States. The tortfeasor’s insurer paid its $25,000 policy limit to settle Berry’s claims. State Farm consented to that settlement and acknowledged Berry’s right to pursue a UIM claim under his policy.

Berry then filed this action in the Superior Court, seeking UIM benefits, and State Farm moved to dismiss for lack of personal jurisdiction. The court relied, primarily, on Eaton v. Allstate Property & Casualty Insurance Co., which held that a UIM claim against one’s own insurer is a first-party contract dispute, not a tort claim. As the tortfeasor’s liability had been resolved, and the remaining controversy concerned the insurance company’s alleged failure to perform its obligations under a policy issued and negotiated outside of Delaware, the long-arm statute does not apply.