by Jessie » Thu Aug 30, 2007 08:51 pm
We were in an accident: we backed up into a parked car in a parking lot. This parked car hit a wall that's made of cement blocks with reenforced steel bars inside. Our insurance paid ~$1400 to the owner of the wall, but the owner is not satisfactory and is threatening to sue. (They claim that the cost to repair the wall is ~$10,000.) Even though my insurance company claims that they will back us 100% if there is a lowsuit, the suit would be against us, not the insurance company. What can I do to change the insurance company's settlement decision so we don't get sued? And more importantly, who's responsible to represent us and who's responsible for damage if we lose the lawsuit?
Posted: Fri Aug 31, 2007 01:42 am Post Subject:
Let me start by saying, relax and take a deep breath... you really have nothing to worry about.
Your insurance policy provides two coverages under liability. It pays for property damage to others (the wall and other vehicle) up to your policy limits. It also pays for a defense with no limit. As an adjuster I've heard thousands of people claiming they will file suit. I could count on one hand the number of people that actually have. I'm going to guess here and say that the insurance company determined the cost to repair the small section of wall was about $1400 (sounds about right for the type of damage a vehicle being pushed into it would cause). I'll also bet the the owner of the wall wants an entire brand new wall and perhaps even some nice balloons on top. You are only responsible for the cost to put the wall back into the same condition it was prior to the accident. That is the $1400. If the other person files in small claims court your insurance company will handle the issue. Granted, they may not be able to have an attorney speak for you (as it may not be allowed in Small Claims Court) but they would back you and guide you through the entire process. As this is almost an impossibility I'll only mention that any judgement against you would be paid by your insurance company... up to your policy limits but actually if it went that far, they would probably pay the entire amount even if it was above your limit (something called Bad Faith becomes involved). But people with property damage never like that the insurance company is only going to put things back like they were. Many people think they should get something brand new or better (I can't blame them for thinking this).
One last note... most likely in your state any claim for $10,000 or less would need to be filed in Small claims. If your state is less then $5,000 then the other person would need to hire his own attorney and that gets _very_ expensive! So the other person's only real recourse is Small Claims. SC court is no big deal. Usually there is a pre-arbitration where a person speaks to both people to see if the matter can be resolved. If not, both parties give their info to a judge and the judge decides. Takes about 30 minutes. No big deal. Again, It's _highly_ unlikely that your insurance company won't be able to make this go away.
Posted: Fri Aug 31, 2007 07:19 am Post Subject: You'll be responsible..but..
Well my friend, changing the settlement decision with your insurer is beyond a possibility right now. And yes the suit would be against you and not your insurer. When it is your fault, then none else can get sued for that. But why are you getting scared ?
Its for sure that your insurance company will back you well under the worst circumstances. As tcope has mentioned, they'd guide you through the entire hassle..be it with any help regarding information or be it regarding paying for your penalties..and more likely as you can see it seems you won't even get sued. Thanks, Juanita
Posted: Fri Aug 31, 2007 07:54 am Post Subject: Your have a good insurer with you!
Hi Jessie!
Your insurance company seems to be a good one to me...that they have even measured the extent of the damage caused to the wall..and accepted to defend you from all possible threats. These days you don't really get such a good career.
But believe me you should never look to pay for something thats not your fault. I had once hit a car while backing up and when the other party claimed for the losses it was proved that they had used after market parts for which their claim was not worthy of the actual loss. So I had to pay less towards the settlement at the end of it.
So I have reasons to believe that your insurer has been pretty effective towards ascertaining what we call the the actual loss. Under any circumstances, if the settlement is done for a larger amount then also your insurance company would be a witness to the entire process, so they would not have any problem towards feeding your problems.
Regards, CarmenSolicitor
Posted: Sat Sep 01, 2007 04:52 pm Post Subject:
Jessi the others are right- My son was in an apartment parking lot getting ready to pull out when another car and he collided. My sons car was mostly in the parking lot and the other guy was over center and my son clipped his hubcap! The guy didn't want my son to call the police- but my son was raised knowing the ins and outs of insurance and did.
To make a long story longer- the guy sued and got an attorney. My insurance agent took care of everything and their legal department was wonderful.
My son and I went to the scene later, took pictures of where his car was, the other guys, anything blocking the drive, etc. The attorney for the insurance told me I had pretty much done his job for him!
We didn't go to court, the attorneys did, and the case was dropped after I did some checking and found out this guy was on disabilty, had another claim going for workmens com, and on and on.
Hang in there! If it does go that far, they will guide you through the process!!..KAren
Posted: Wed Sep 05, 2007 10:48 pm Post Subject:
Your insurance company has attorneys for just this very reason - to defend YOU. They are on your side, and the side of your insurance company. When they defend your insurance company, they defend you.
Posted: Tue Sep 11, 2007 05:55 am Post Subject:
Such a depressed thing!In my opinion,it's a big trouble. the accident is so much.Most accidents can waste a lot of time of car owners.
It seems to me that since you have insurance you should be covered.....
I dont know what the laws say where you are, but here each state has laws about liability in regards to vehicle accidents. Your insurance company should be acting on your behalf. Have you consulted a lawyer to be on the safe side? If they weren't happy with $1400 why didn't they say so? Didn't they have to get a quote first?I would consult a lawyer just to be sure what your liability is.
Posted: Sun Sep 23, 2007 02:03 am Post Subject:
I just dont understand what kind of a wall will cost $10 000 to fix that is just a ridiculous statement...
Posted: Mon Sep 24, 2007 04:10 am Post Subject: I think that is ridiculous.
I've heard about insurance companies saying things like this in the past, but I don't believe it is legal for them to skirt their liability on your claim like that. They will be the ones to get sued, if you have a valid policy with them. The other insurance company and claimant would rather go after someone with deeper pockets anyway.
-Brandon
Post edited as per forum rules - Lakemen
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