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Safeco Insurance of Illinois v. Automobile Club Insurance Co.9/17/2001
y damages exceed available primary coverage.
In light of the different purposes of primary and excess coverage policies, we hold that the 'other collectible insurance' referenced in ACIC's primary automobile liability policy was intended to refer to other primary automobile liability policies, not to umbrella policies such as Safeco of America's. Therefore, ACIC's primary automobile liability policy must next apply to the settlement amount.
Once its policy limits are exhausted, then the insurers under each umbrella policy should contribute dollar for dollar on the balance of the claim.
REVERSED.
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