The opinion of the court was delivered by: HARRIS
STANLEY S. HARRIS, UNITED STATES DISTRICT JUDGE
On July 23, 1991, the Court held what had been scheduled to be a bench trial in this action. Because the parties had stipulated to all relevant facts, and the original plaintiff, Nationwide Union Fire Insurance Company of Pittsburgh, PA., and defendant, Bonnie L. Binker, had settled their portion of the case, counsel for third-party plaintiff, Binker, and third-party defendant, Travelers Indemnity Company, simply presented arguments on behalf of the parties as to their remaining portion of the case. For the reasons set forth below, the Court finds that Travelers is liable to Binker in the amount of $ 25,000.00, plus interest.
The parties stipulated to the following relevant facts, which are set forth virtually unedited:
1. At all times material hereto, plaintiff was a Pennsylvania corporation and was a licensed insurance company under the laws of the District of Columbia, Virginia, and Maryland.
2. On or before January 1, 1979, plaintiff issued a comprehensive automobile liability insurance policy (Policy No. GLA 126 90 88) to The Evening Star Newspaper Company and Times News Holdings, Inc. ("The Washington Star"). A copy of the insurance policy is attached to the Stipulations as Exhibit 1.
3. At all times material hereto, third-party plaintiff was a resident of Virginia.
4. At all times material hereto, third-party defendant was a licensed insurance company under the laws of the District of Columbia, Virginia, and Maryland.
5. On or before September 5, 1979, third-party defendant issued a comprehensive automobile liability insurance policy (Policy No. 007276130 101 1) to third-party plaintiff and her husband, Carl William Binker, Jr. A copy of this policy is attached to the Stipulations as Exhibit 5.
6. Under the specific terms and conditions of the latter policy, Mr. and Mrs. Binker were "persons insured," entitled to the use, benefit, and protection of the automobile liability insurance coverage provided therein.
7. Under the specific terms and conditions of this policy, third-party defendant provided "uninsured motorists insurance" for all persons insured under the policy and agreed to "pay in accordance with Section 38.1-181 of the Code of Virginia and all Acts amendatory thereof or supplementary thereto, all sums which the insured or his legal representative shall be legally entitled to recover as damages from the owner or operator of an uninsured motor vehicle because of bodily injuries sustained by the insured or property damage, caused by accident and arising out of the ownership, maintenance or use of such uninsured motor vehicle."
8. Under the specific terms and conditions of this policy, and in accordance with the Virginia Uninsured Motorists Act, as set forth in Section 38.1-181 of the Code of Virginia, 1950, as amended, this policy provided uninsured motorists insurance coverage to any person insured who incurred damages in an accident with an uninsured highway vehicle, even where there was no physical contact between the insured highway vehicle and the uninsured highway vehicle.
9. Under the specific terms and conditions of this policy, third-party defendant's coverage limitation for liability arising under the uninsured motorist insurance was $ ...