Disabled Man To Get $145 Million Payout Over Insurance Denials

A jury has ordered an insurance company to pay $145 million to a Colorado man who was permanently disabled after an injury at work.

The Denver District jury found the company, NorGUARD Insurance Company, had illegally delayed and denied Fermin Salguero-Quijada’s workers’ compensation claim, the Denver Post reported.

Newsweek has contacted NorGUARD, which is owned by Warren Buffet’s Berkshire Hathaway, and an attorney for Salguero-Quijada for comment via email.

Why It Matters

The jury said the delay in Salguero-Quijada’s workers’ compensation claim prevented him from receiving medical care that could have helped him avoid permanent disability.

What To Know

Salguero-Quijada was 20 when he fell at least 15 feet from a ladder while working as a painter for a company in Salt Lake City in September 2021, the Post reported.

Doctors at the University of Utah Hospital diagnosed him with serious brain hemorrhages and he was placed on life support.

After two months, doctors recommended he be sent to Craig Rehabilitation Hospital and ordered neurology and neurosurgery consultations, physical therapy, occupational therapy, speech therapy, MRIs, acupuncture and more.

But NorGUARD, the painting company’s insurer, did not admit liability for the workers’ compensation claim and refused to cover his care there.

Salguero-Quijada’s relatives in Aurora instead took over caring for him. According to the lawsuit, he needed 24/7 care, including help with communicating, eating, walking and bathing.

NorGUARD first denied the workers’ compensation claim more than a month after Salguero-Quijada’s fall, saying it needed more time to investigate. Later, the company said the insurer for the contractor that hired the painting company should be responsible for the claim.

Salguero-Quijada’s family contested the denial. But even when a judge ordered NorGUARD to pay the claim almost a year later, NorGUARD appealed the decision. The company continued to deny payment for Salguero-Quijada’s care even after losing again.

Salguero-Quijada’s family sued NorGUARD in November 2023.

What People Are Saying

Sean Claggett, an attorney representing Salguero-Quijada, said during opening statements that the case was about the insurance company’s “calculated decision to deny coverage for an injured worker resulting in his unnecessary physical impairment that is now permanent.”

Defense attorney Jonathan Morrow told jurors that despite questions about whether Salguero-Quikada was eligible for coverage from NorGUARD, the company began making payments in the immediate aftermath of the fall.

He said: “We have paid out $2.1 million to date and will continue paying wages and benefits for the rest of his life.”

What’s Next

The jury’s verdict of $145 million includes $60 million in punitive damages.