by JMAC » Wed Aug 29, 2012 05:04 am
Awhile back my roommate had a accident in my car...I had insurance I don't know if he did..the person he hit got my insurance information and agreed to leave the scene..he didn't call for no medical help and said he was okay...then my insurance company denied his claim because he failed to show a police report because they left the scene and now a year and a half later he tries to sue my roommate for injuries and property damage..And has included me in the suit,saying I negligently entrusted him with my car...Can they do that? And what am I suppose to do now? Do i tell the insurance company and ill my insurance cover my legal situation? :?
Posted: Wed Aug 29, 2012 12:58 pm Post Subject:
the person he hit got my insurance information and agreed to leave the scene
.then my insurance company denied his claim because he failed to show a police report because they left the scene
This does not make sense. The law requires that each party exchange contact and insurance information, which you state was done. I doubt any carrier is going to deny a liability claim for this reason... as it's not a valid reason for a denial.
Can they do that?
Yes, it happens all of the time. Each state allows a party to collect for property damage and injuries for so long after an accident. It's at least one year and can be as long as 6 years. As long as suit is filed within that time frame, the person has a right to seek payment. Since you did not physically cause the other person a loss, they need to bring you in under "negligent intrustment". That basically means you are responsible as much as the driver when you loan your vehicle out to someone.
And what am I suppose to do now? Do i tell the insurance company and ill my insurance cover my legal situation?
Yes you tell your insurance company. So that they can provide you a defense. I think there is a chance they denied _coverage_... to _you_... not that they denied the other person's claim. I think this might have been the case as your roommate had access to your vehicle, was not on your policy and it appears did not have an insurance policy of his own. You may have been required to tell your insurance company that he was living in the household. Forward to lawsuit to your carrier and see if they will defend you.Posted: Thu Aug 30, 2012 05:32 am Post Subject:
If your insurance company refuses to provide you with a defense, they will have to tell you why. As tcope has said, the only reason would be if the contract requires you to inform the insurance company of any person who has access to your vehicle as a resident of your household. An exclusion such as this normally applies to unnamed family members, and may or may not apply to roommates.
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