Is there any need for disclosure of a potential judgment or settlement in an uninsured motor vehicle case?

Clearly, when faced with an uninsured claim, the insurer must be made aware of any potential judgment or settlement in order to protect its subrogation rights and to prevent double recovery. (Mills v. Farmers Ins. Exchange (1964) 231 Cal.App.2d 124, 41 Cal.Rptr. 650.) There is no need, however, for such protection in the underinsured motorist context. This is so because the underinsured carrier is not required to indemnify its insured until the insured has exhausted the limits of the tortfeasor's liability policies by either settling the claim or obtaining a judgment against the tortfeasor and submits proof of payment to the insurer. ( 11580.2(p)(3).) Under these circumstances, there is no danger of double recovery.