Payment not to constitute admission of liability or waiver of defenses.
1. No payment or payments made by any person, or by his insurer by virtue of a liability 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 defenses 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 made by, or judgment rendered in such an action against, the payer or his insurer, and in favor of any person to whom or on whose account payment was made.
Last modified: February 27, 2006