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Washington is one of only four states which do not allow punitive damages in personal injury cases. This means that victims cannot seek extra damages when injuries result from intentional, outrageous, or reckless conduct. As a result, victims in Washington personal injury cases may seek only compensatory damages.
Although state laws vary, punitive damages are usually allowed only when the defendant has displayed actual intent to cause harm (such as purposefully rear-ending someone else's car), rather than in cases of mere negligence, or causes an injury through action taken in reckless disregard for the lives and safety of ...
2 The Washington Supreme Court heard oral arguments on September 11, 2001, and on November 21, 2001, it affirmed the Court of Appeals on all issues. ' As a result, punitive damages are now considered to be insurable in Washington State.
Currently, punitive damages are generally uninsurable in five states (California, Colorado, New York, Rhode Island, and Utah) under the idea that allowing for the insurability of punitive damages undermines the punishing effect that such awards are meant to have. Twenty-six states generally permit insurability.
Punitive damages are legal recompense that a defendant found guilty of committing a wrong or offense is ordered to pay on top of compensatory damages. They are awarded by a court of law not to compensate injured plaintiffs but to punish defendants whose conduct is considered grossly negligent or intentional.
Insurance is a creature of state law; as such, the question of the insurability of punitive damages varies by state. Most states allow punitive damages to be insured, with at least 26 states permitting directly assessed punitive damages to be insured.
Generally, punitive damage awards require a compensatory damage award. There are two types of punitive damages: direct and vicarious. Direct punitive damages are assessed for an insured's wrongful acts. Vicarious punitive damages are imposed against an insured if it is liable for acts of another.