Insurance firm agrees to pay widow $34.8K in insurance policy

An insurance company has agreed to pay $34,775 in insurance policy benefits to the wife of a then-trade specialist of the Department of Public Health and Environmental Services who reportedly drowned on Rota in 2011.

FirstNet Insurance Co. made the decision to make the payment after Monica H. Semilla, wife of the late Alberto S. Semilla, surfaced after reading Saipan Tribune’s story about the policy. Mrs. Semilla then responded to FirstNet’s lawsuit and to the court.

Attorney Richard W. Pierce, counsel for FirstNet Insurance Co., has informed the U.S. District Court for the NMI about their agreement to pay Mrs. Semilla and asked the court to dismiss its lawsuit.

Saipan Tribune ran a story about FirstNet’s lawsuit that was filed in federal court in March 2013. The lawsuit sought to discharge the company from any obligation to Mrs. Semilla and Mr. Semilla’s three children.

FirstNet named as defendants Mrs. Semilla, and Teresita Montana, as the attorney-in-fact for the children: Albert, Aljerom and Angelica Similla.

According to Pierce in the lawsuit, FirstNet insured the life of Alberto S. Semilla under a group life policy with the government of the CNMI. He said the policy provided basic coverage on Mr. Semilla’s life in the amount of $40,000. Mr. Semilla accidentally drowned on April 23, 2011, on Rota.

Pierce said Monica H. Semilla, the spouse and named beneficiary under the insurance policy, is a U.S. citizen and a resident of Guam. He said Monica Semilla has not filed a claim on the proceeds of the life insurance and her time for filing a claim has expired.

Pierce said Teresita Montana, self-described as attorney-in-fact for three children of the late Alberto Semilla, filed a claim on behalf of the three children. Montana and the three children are Filipino citizens.

The lawyer said FirstNet denied the claim of Teresita Montana because the three children of the late Mr. Semilla were not the named beneficiaries.

Pierce said at the present time, there is an actual case and controversy under the Federal Rules of Civil Procedure because FirstNet may be subject to conflicting claims to the proceeds of the policy should Monica Semilla file an untimely claim or should the three children file a claim to the proceeds based upon their being heirs.

In a motion to dismiss the lawsuit filed last week, Pierce said Mrs. Semilla, the named beneficiary under the policy of insurance, did not file a claim on the proceeds of the life insurance policy until notified of the court proceeding.

Pierce noted that Mrs. Semilla made an email filing with the court on Jan. 15, 2014, and cited that she was not aware of this life insurance coverage.

Pierce said because the insurance policy at issue makes the estate of the deceased the alternate beneficiary in the event the named beneficiary does not claim, and because a representative of Mr. Semilla’s three children had contacted FirstNet, FirstNet brought this court action.

Pierce said the company sent a copy of the complaint and summons by registered mail to the Philippines to Teresita Montana, the individual who had claimed to represent the three adult children of the late Mr. Semilla. He said Montana did not respond even after two telephone calls.

However, Pierce said, he received an email from Angelica Wroblowski, Semilla’s daughter who lived in Germany with one of her brothers, Albert Semilla. Angelica wrote that she had received a letter from Mrs. Montana and inquired about how to file a claim in the civil lawsuit.

Pierce said he returned the email with a copy of the summons and complaint and suggested a CNMI-based attorney that might assist her.

Additionally, communications occurred including with someone who appeared to be a German attorney.

Pierce said inasmuch as the purported representative has shown no desire to file a claim on behalf of the estate of the late Mr. Semilla and the named beneficiary has stated she was not aware of the policy on Mr. Semilla’s life until publication of this proceeding, FirstNet proposes that the case be dismissed with prejudice.

Under the agreement, FirstNet shall pay Mrs. Semilla the sum of $34,775 as full and complete payment on the insurance policy. FirstNet shall retain $5,225 from the policy proceeds to pay for the cost and fees of the civil lawsuit to find and determine the rightful beneficiary on the policy.