Lauren Scruggs Calls Off Insurance War in Propeller Maiming

Lauren Scruggs — the model who suffered gruesome injuries in an airplane propeller accident last year — is halting all legal action after agreeing to a settlement with the pilot”s insurance company.

Scruggs had gone to battle with Aggressive Insurance Services because she felt entitled to more than a $200,000 settlement … the most the company claimed it could give to a “passenger.”

Scruggs had argued that she wasn”t technically a passenger when the accident occurred because she had already departed the aircraft when she was struck by the plane”s propeller … losing a hand and an eye.

Now, both Scruggs and A.I.S. have jointly announced they have reached a settlement … but the terms are confidential. We”re guessing it”s a helluva lot more than $200k.