STATE FARM MUT. AUTO. INS. v. PROGRESSIVE

No. 21,978.

35 P.3d 309 (2001)

131 N.M. 304

2001-NMCA-101

STATE FARM MUTUAL AUTOMOBILE INSURANCE COMPANY, Petitioner-Appellee, v. PROGRESSIVE SPECIALTY INSURANCE COMPANY, Respondent-Appellant, and Kimberly A. Ward, Defendant, and Starla Whitaker Johnson, Real Party In Interest.

Court of Appeals of New Mexico.

October 9, 2001.


Attorney(s) appearing for the Case

Terry R. Guebert, Don Bruckner, Guebert, Bruckner & Bootes, P.C., Albuquerque, NM, for Appellee.

Daniel J. O'Brien, Lawrence M. Glenn, Daniel J. O'Brien & Associates, P.C., Albuquerque, NM, for Appellant.

Michael R. Huffaker, Booth & Huffaker, Farmington, NM, for Real Party In Interest.


OPINION

BOSSON, Chief Judge.

{1} This appeal addresses a question left unanswered by prior appellate decisions as to whether New Mexico's mandatory liability insurance law requires coverage for punitive damages. We hold that New Mexico law does not require such coverage and that an insurer may contractually exclude punitive damages from its liability policy. The district court having ruled to the contrary, we reverse.

BACKGROUND

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