State Farm Mutual Automobile Insurance v. Soo Line Railroad

On April 10, 1975, Cheryl A. Holmes, an insured of plaintiff, State Farm Mutual Automobile Insurance Company, was severely and permanently injured when an automobile which she was driving struck a train of the Soo Line Railroad Company in Chippewa County, Michigan.

Pursuant to the applicable policy of insurance and the no-fault act itself, State Farm began paying Mrs. Holmes "allowable expenses”, MCL 500.3107(a); MSA 24.13107(a), consisting of medical and rehabilitation expenses, and "work loss” benefits, MCL 500.3107(b); MSA 24.13107(b). As of the date the complaint was filed in the instant…