A totaled vehicle that was put up as collateral on another loan...

So my friend recently wrecked her car (hit a deer on the highway). That seemed bad enough. Turns out the car is totaled. That's worse. The worst part is that when she was engaged she put the car up as collateral on her fiance's loan. Long story short, they're not together anymore. The total amount from the insurance is apparently going directly to that loan. This means she won't see a dime and we don't expect him to be terribly helpful (doucher).

I know this is a long shot, but is there any recourse that can be taken here? I understand that they should've modified the loan when they split, but is she just completely screwed now?

Thank you for your help.