Principal Mutual Life Insurance Co. v. Progressive Mountain Insurance Co.

Summary

The Colorado Supreme Court held that a named driver exclusion authorized by the Colorado No-Fault Act precludes a resident relative of a named insured from recovering personal injury protection benefits for injuries arising from the excluded driver's operation or use of the insured vehicle. The court concluded that the exclusion was an authorized limitation on PIP benefits and affirmed the court of appeals' judgment denying reimbursement to Principal Mutual Life Insurance Company.

Holdings

1. When a named insured's policy expressly excludes coverage whenever a specified driver operates or uses a motor vehicle otherwise covered under the policy, the named insured's resident relatives are not entitled to PIP benefits for injuries arising from that excluded driver's operation or use of the vehicle.

Questions Presented

1. Whether a named-driver exclusion authorized by section 10-4-721 of the Colorado No-Fault Act precludes a named insured's resident relative from recovering PIP benefits for injuries arising from the excluded driver's operation or use of an insured vehicle.
2. Whether the statutory provisions generally extending PIP benefits to resident relatives override an express, statutorily authorized named-driver exclusion.

Disposition

affirmed