Allstate Insurance v. Safeco Insurance

In November 1985, plaintiffs insured and his passenger were injured when their car collided with a car whose driver had a motor vehicle liability policy issued by defendant Safeco Insurance Co. (Safeco) and an umbrella policy from defendant Continental Casualty Company (Continental). Defendants’ insured was at fault in the accident. Defendants settled with plaintiffs insured and his passenger for the policy limits. In addition, plaintiff paid its insured and his passenger about $80,000 in personal injury protection (PIP) benefits. It then requested PIP reimbursement from Safeco, pursuant to…