US Laws, Codes, Statutes & Cases

                                  TITLE  41
                                  INSURANCE
                                  CHAPTER 18
                            THE INSURANCE CONTRACT
    41-1840.  PREPAYMENT OF CLAIMS. (1) No payment or payments made by any
person, or by his insurer by virtue of an insurance policy, on account of
bodily injury or death or damage to or loss of property of another, shall
constitute an admission of liability or waiver of defense as to such injury,
death, loss or damage, or be admissible in evidence in any action brought
against the insured person or his insurer for damages, indemnity or benefits
arising out of such injury, death, loss or damage unless pleaded as a defense
to the action.
    (2)  All such payments shall be credited upon any settlement with respect
to the same damage, expense or loss made by, or judgment or award rendered
therefor in such an action against, the payor or his insurer, and in favor of
any person to whom or on whose account payment was made.