Under-insured for Property Damage in California Auto Accident?
Question:
However, the accident included a small hatchback (my friend) hitting a truck (other party) at a reletively slow speed (under 30 mph). It appeared that the majority of the damage was to my friend's car. They have no idea if the damage was verified by the insurance company or if they recieved any quotes for repairs. Do they have any legal rights to multiple quotes or to verify damage? Or do they simply have to pay the 6000 difference? Any information is greatly appreciated!
Answer:
What your friend should do, is file a claim with their own insurance company and let the insurance company handle it. Your friend's insurance company is only able to pay up to the limit, but it does not give the other party free reign to get the most expensive estimate out there.
If the other party has collision coverage, they SHOULD go through their own carrier, because then the other carrier will discuss with your friend's carrier - and either they will just agree to write off the difference, or if your friend has assets (which most likely they don't if they only carry $5K in PD limits), will request some kind of contribution.
Tell your friend NOT to agree to set up a payment plan for the remaining dmgs. What your friend should do again - is let her own insurance company inspect the vehicle, to get an ACCURATE estimate, as the other party is legally entitled to get the vehicle repaired at whatever shop they choose, but your friend does not have to pay unreasonable excessive charges - your friend should allow their insurance company to negotiate a price for the repairs.
He simply has to pay the difference. By your friend not having enough coverage (and therefore paying cheap insurance ans screwing people he hits over)- he is FORCING the other party to go through their own carrier to pay for damages.
Im sure the other party wasnt happy about doing this.. but they did.. so that they could get their property fixed. Now, since they were forced to go through their own carrier. that carrier is looking for reimbursement.. in which they are owed. By not carrying the coverage.. you took away your rights.
Set up a payment plan and pay up.. or face a lifetime of consequences on credit etc.
If your friend's insurance company won't intervene and justify the claim on the truck, your friend could also hire a private adjuster who will assess the damage to the other vehicle. By challenging the damages through a private adjuster, your friend has more bargaining power.
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