COUNTRYWIDE INSURANCE COMPANY v. SAWH

The arbitrators exceeded their authority in directing the payment of the $2,250 at issue, as the award was in excess of the $50,000 limit of the subject insurance policy (Matter of Brijmohan v. State Farm Ins. Co., 92 N.Y.2d 821; Matter of State Farm Ins. Co. v. Credle, 228 A.D.2d 191; Spears v. New York City Trans. Auth., 262 A.D.2d 493, 494, lv denied 2000 N.Y. LEXIS 232). When an insurer "has paid the full monetary limits set forth in the policy, its duties under the contract of insurance cease" (Presbyterian Hosp. v. Empire Ins. Co., 220 A.D.2d 733, citing Presbyterian Hosp. v. Liberty Mut. Ins. Co., 216 A.D.2d 448).

THIS CONSTITUTES THE DECISION AND ORDER OF SUPREME COURT, APPELLATE DIVISION, FIRST DEPARTMENT.