Use $PSVersionTable.PSVersion to determine the engine version. If the variable does not exist, it is safe to assume the engine is version 1.0.

Note that $Host.Version and (Get-Host).Version are not reliable - they reflect the version of the host only, not the engine. PowerGUI, PowerShellPLUS, etc. are all hosting applications, and they will set the host's version to reflect their product version, which is entirely correct.