Court Opinion

ID: 9561718
Source: CourtListenerOpinion
Date Created: 2023-08-21 18:14:44.918844+00
Date Added: 2024-06-11T09:14:17.885760
License: Public Domain

*847Dore, J.
(dissenting)—I believe the majority correctly decides to stack Vadheim's insurance policies because this court's earlier decision in Cammel v. State Farm Mut. Auto. Ins. Co., 86 Wn.2d 264, 543 P.2d 634 (1975) mandates such a result in uninsured motorist cases. While I realize that in this case we are faced with an underinsured motorist provision, I agree with the majority that because the insurance policy defines an underinsured motor vehicle the same as an uninsured motor vehicle, we should treat the policy as an uninsured motor vehicle policy. See majority, at 844. I am puzzled, however, with the majority's decision to allow a $25,000 setoff in this case. Such a setoff is clearly impermissible in uninsured motorist policies, and I do not understand why this court should treat this as an uninsured policy for purposes of stacking, but an underinsured for purposes of setoff. I would not allow the setoff, and would award Vadheim the full recovery of $45,000.
In Thiringer v. American Motors Ins. Co., 91 Wn.2d 215, 588 P.2d 191 (1978) this court stated
The general rule is that, while an insurer is entitled to be reimbursed to the extent that its insured recovers payment for the same loss from a tort-feasor responsible for the damage, it can recover only the excess which the insured has received from the wrongdoer, remaining after the insured is fully compensated for his loss.
(Italics mine.) Thiringer, at 219. This policy, to make sure the insured is made whole before allowing for a setoff, has been echoed repeatedly by this court. See, e.g., Nationwide Mut. Ins. Co. v. Kelleher, 22 Wn. App. 712, 591 P.2d 859 (1979). It mandates that setoff clauses in uninsured motorist policies cannot reduce the amount received by an insured from his insurer unless the insured would obtain a double recovery. In fact, the same policy has recently prevented an insurance company in an underinsured case from obtaining a setoff. Taxter v. Safeco Ins. Co. of Am., 44 Wn. App. 121, 721 P.2d 972 (1986).
Therefore, unless Vadheim has damages less than $45,000, Continental Insurance Company cannot assert the *848setoff clause in the policy. Otherwise, the purpose of an insurance policy—namely to insure—would be defeated and the insurer would receive reimbursement for funds paid to its insured while that same insured would have uncompensated damages.
Brachtenbach, J., concurs with Dore, J.
Reconsideration denied May 5, 1987.