What Is My Maximum Recovery In An Underinsured Motorist Claim In Virginia?

Key Takeaways About Maximum Recovery in an Underinsured Motorist Claim in Virginia

• UIM coverage Virginia is compensation sought from your own insurance, not from the at-fault driver’s insurance. 
• There has been a change in Virginia law concerning maximum recovery in a Virginia underinsured motorist claim in 2023, and it will likely lead to more, rather than less, recovery for most people.
• As of July 2023, stacking is allowed in Virginia in regard to UIM coverage Virginia. 
• The maximum recovery is the lower of your total damages or the total insurance policy limits. 
• It is possible to have multiple insurance policies involved in one accident. 

Underinsured motorist claim Virginia insurance, or UIM insurance, is the insurance coverage within your own car insurance that compensates you if the other party who causes harm does not have sufficient insurance to compensate you.

My name is Robert Tatum; I am an attorney practicing at Tatum & Atkinson Law Firm. For many years now, our law firm, which started operations way back in 2006, has had over 65 years of combined experience in dealing with underinsured motorist claims in Virginia and ensuring maximum recovery from every single one of the personal injury claims that we make on behalf of our clients. 

In case, at any point in time, you realize that you need a Virginia car accident attorney for your UIM claims, or uninsured motorist claims, we know about this.

What Is Different About a UIM Claim vs. Claiming from an At-Fault Driver

One accident may result in two different types of claims. A liability claim will be filed against the insurance of the at-fault driver and will compensate you for their fault in the accident, up to the insurance policy limits. An underinsured motorist claim Virginia will be filed against your own insurance company, and it will pay out any shortfall not covered by the at-fault driver’s policy.

Virginia UIM Stacking Law Change in 2023

As of July 1, 2023, UIM coverage Virginia, carriers are no longer allowed to reduce your UIM amount by deducting the at-fault party’s coverage under their policy.

According to Va. Code § 38.2-2206, uninsured motorist coverage will be payable without the credit for the underlying liability coverage; therefore, the amounts will stack. The new law makes a difference: 

Under the old law, if the at-fault party had $50,000 in coverage and you had $50,000 in UIM coverage Virginia, the UIM amount would pay out $0; the amounts would cancel each other out. 

With $50,000 of liability and $100,000 of UIM coverage Virginia, the new formula will allow the maximum recovery of $150,000, whereas the old offset would have limited the amount to $100,000.

What Really Limits Your Maximum Recovery

Your maximum recovery limit will be the lesser of two amounts: the total insurance available and the total damages you suffered. Both figures will depend on several factors: 

• The liability limit of the negligent driver. 
• Your UIM coverage Virginia limit of coverage. 
• If there are multiple policies involved, this may include uninsured motorist coverage from another member of your household or from an additional car that you own and that is covered under Virginia’s priority rules. 
• The language in your policy. 
• Total damages suffered: this includes past and future medical expenses, loss of earning ability and income, and pain and suffering. Both figures have to be developed.

Silent Errors that Make a UIM Claim Pay Less

An underinsured motorist claim Virginia is made to your insurance company, and there is a strong incentive on their part to reduce its settlement value. The following are some errors that make this easy: 

• Agreeing to a settlement value too quickly before the extent of the injuries is determined. 
• Not looking for all the policies that may cover the accident. 
• Making a statement that understates the severity of the injuries. 

Filing the personal injury claim late, when the evidence has weakened and the memory has faded, or missing the two-year statute of limitations under Va. Code § 8.01-243. 

With Virginia’s pure contributory negligence law, there is a serious risk. If you are held even 1 percent negligent, then you cannot recover anything from the other driver or your UIM coverage Virginia.

Underinsured in Virginia After a Car Accident? Talk to Tatum & Atkinson Law Firm

When an accident victim lacks sufficient insurance policy limits, then the key to compensation is usually in how effectively the injured party uses their insurance. This, however, is not something that you can accomplish on your own with your insurer. 

Tatum & Atkinson Law Firm represents underinsured motorist claim Virginia and Virginia car accident claims from the Cedar Bluff office, serving all of southwest Virginia, and all other Virginia representation is provided by Jon Ward, a Virginia car accident lawyer who holds a Virginia license. 

The Heavy Hitters know the settlement value of the damage done, squeeze every inch of insurance coverage out of the insurance policy limits with the help of the new stacking law, and fight for your rights. 

Call us at (800) 529-0804,, for a free consultation. Our firm works on contingency, which means that there is no fee unless we win.

FAQs: What Is My Maximum Recovery in an Underinsured Motorist Claim in Virginia?

Will using my UIM coverage raise my insurance rates?

Absolutely not. In such cases, Virginia law shields you from an increase in your premium or cancellation of your policy for using the uninsured motorist coverage that you have already paid for, according to Va. Code § 38.2-1905.

If I settle with the at-fault driver, do I lose my UIM claim?

Certainly not when done properly. Virginia has a procedure by which you can accept payment up to the insurance policy limits of the other driver’s liability coverage while retaining your ability to go after your UIM coverage Virginia for the rest of your damages. 

Can I combine more than one policy to increase my recovery?

At times, and this is one of the major opportunities for improving maximum recovery, inter-policy stacking is permitted in Virginia, meaning that more than one policy may cover the same accident, such as uninsured motorist coverage for another vehicle in the household. Of course, this depends on the wording of the particular policy and the manner in which the vehicles are covered. 

What if my damages are worth more than all the available coverage?

Well, now you know the ceiling for your maximum recovery. It will be limited by the total of the coverage available under the liability and the UIM coverage Virginia, even though you actually had greater losses. The whole purpose of the game here will be to find out just how many insurance policy limits there are. Even a single additional policy may make all the difference.

What does it cost to hire a Virginia car accident lawyer?

Zero fees whatsoever, up front or otherwise. These personal injury claim cases are handled on a contingency basis, and there are no fees unless there is a recovery, especially with underinsured motorist claim Virginia cases, where calculating the damages, looking into the insurance policy limits, and negotiating with the insurance companies are done through the Virginia car accident lawyer.

About the Author

Robert Tatum

Robert Tatum is the founding attorney at Tatum & Atkinson. He is licensed to practice in all North Carolina state and federal courts and before the U.S. Supreme Court. He earned his J.D. from the University of North Carolina School of Law in 2002 and his B.S. from the University of Virginia in 1999. His practice focuses on personal injury law. Connect with him on LinkedIn.