Deanne Berrey v. Travelers Indemnity Company of

FLAUM, Circuit Judge.

Deanne Berrey was injured in an automobile accident at work. The at-fault driver, who did not work with Berrey, carried liability insurance, but the cost of Berrey’s injuries exceeded the insurance policy’s limit. Berrey received partial compensation under her employer’s workers’ compensation scheme but, because her employer was not legally responsible for the accident, state law granted the workers’ compensation carrier a lien on any recovery Berrey received from- the at-fault driver. To satisfy that lien, the at-fault driver’s liability insurer paid its full policy…