If the other driver was uninsured or had less liability insurance than your total damages, then you can make a first party claim for Underinsured Motorist Coverage (UIM) under your own policy. All policies in Washington have UIM coverage unless your insurance company obtained a written, signed waiver of coverage. UIM coverage extends to named insureds on the policy, minors residing in the insured household, and passengers in an insured vehicle.
Your policy defines the policy limits for UIM coverage. Most policies set the UIM limit and your own liability limits at the same amount. UIM coverage “stands in the shoes” of the other driver and pays for whatever damages the other drivers insurance would have paid had he had insurance or more insurance. Thus, you can recover whatever damages you could legally obtain from the other driver.
Like PIP coverage, your policy probably contains language that allows the UIM carrier to ask for an IME (see above). Your policy also contains dispute resolution provisions if the parties cannot agree on the amount of UIM benefits. Depending on the policy, the dispute may be subject to arbitration or may allow either party to opt for a jury trial.
