Allstate Insurance Co. v. Starke

This case presents the issue of whether Allstate Insurance Company (“Allstate”) is obligated under an automobile insurance policy to pay interest accruing prior to judgment on bodily injury damages assessed by a jury against Allstate’s insured to the extent that the damages and interest exceed Allstate’s policy limit for bodily injury liability. The district court, in a garnishment proceeding seeking to reach sums allegedly owed by Allstate to its insured, held that Allstate has no such obligation. The Colorado Court of Appeals reversed. Starke v. Allstate Ins. Co., 771 P.2d 3…