Advice, please: dealing with insurance after an auto accident

In My Humble Opinion
21

Thanks, all, for the advice.

The current situation is that since we didn’t have collision insurance, our company, GEICO is leaving us to deal with the other driver’s company, Mapfre. We have just mailed back their questionnaire, but haven’t spoken to anyone there yet.

I’ve gone to two body shops to get estimates, which I should have tomorrow or Friday. Both expected the car to be totalled, but since we’d like to keep it, if possible, because of the value of the new HV battery, the question of a salvage title has arisen.

Here in Massachusetts, once a car has a salvage title, it has to be inspected before it can be registered, and the inspectors are reportedly fairly strict. We might have to have a whole lot of work done to fix things that otherwise wouldn’t be a problem, and we’ll have no idea how much that would cost.

So our question is, how can we get the largest payout from the insurance company without having them declare it as totalled?

22

I’ve been through this recently-ish. When I was hit by someone, and the other guy was 100% at fault, but don’t have collision coverage myself. Contact your insurer and give them the other insurer’s details, they will contact them and sort it out eventually. It shouldn’t matter that you don’t have collision as long as the other guy doesn’t dispute it. What happened with me is the other guy didn’t dispute it, but also didn’t respond to his insurer’s phone calls, it took a while but eventually we “won” by default and the other insurer covered it.

23

An ethical insurance company isn’t going to play games along those lines. And even unethical ones aren’t likely to play games - too much legal liability.

I’d say, absolute best case $6k is the top value you’d be looking at for the vehicle given the new battery. NOTE - local markets, huge number of unknowns, and I’m erring on the side of high as possible.

As an informed guess, and again, erring on the high side based on the new battery, low mileage, and no other issues, the salvage value is probably close to $1500.

So, absolute best case scenario, $6k-1.5 = $4.5k.

$4.5k x 80% = $3600. That would be the absolute best case scenario for a payout IMHO. Given your statement, if your repair estimates are below that (and we’re still totally at the mercy of the other carrier finding in force coverage and accepting liability) then you might dodge the salvage issue.

I would not be surprised if the settlement was far lower though. But it should give you an idea when you get the repair estimates in the next few days.

24

Thanks to everyone, @Reply and @ParallelLines in particular, for your suggestions.

A month and a half later, and Mapfre (the other driver’s insurance company) wants to total the car, even though we have made it clear we don’t want that. However, they haven’t actually contacted us by mail, phone, or e-mail to say that. A towing company just called and asked when they could pick up the car!

Naturally, I told them they couldn’t.

I made a call to the adjuster and am waiting for a call back.

Neither of the two body shops I talked to ever got back to me with an estimate. One is a Mapfre-preferred shop, and I suspect they don’t want to risk their relationship with Mapfre by giving me a price. I’ll try calling both back on Monday.

Since the amount in question is probably small – $5,000 - $8,000 – I doubt that any lawyer is likely to be interested. Am I right in thinking that a lawyer’s fee would typically be a percentage of the settlement? Or would they charge by the hour, and if so, what is the going rate these days?

Without a lawyer, what is my best tactic for getting more money out of them? What leverage do I have?

Here’s another issue: due to trauma earlier in her life, my wife has a long history of depression and anxiety, and PTSD-like symptoms (although no actual diagnosis of PTSD). This accident has had a serious effect on her. She hasn’t driven since the incident (June 21) and is extremely anxious about getting back in a car, even when I’m driving. She is planning on going back to a therapist to work it out.

Is this something we can use with the insurance company? People faking symptoms to get payouts is an old cliche, so I’m sure they aren’t likely to take our claims at face value. But ours is real.

25

This makes the case worth discussing with an attorney. You’re entitled the damage to your car (repair or total) plus any non economic damages. Whatever you do, don’t sign a release.

26

Just saw this thread. Lots of good advice here.

The first time I had an accident in which the other driver was at fault some 30 years ago, I dealt with the other driver’s insurance company. It was a nightmare. (For example, my car was not drivable; repairs were taking longer than the initial estimate; and they tried to stop paying for my rental car, which would have left me without transportation.) It eventually occurred to me that I wasn’t their customer—just an expense—and they had no incentive to please me.

I talked to my own insurance company (USAA) at some point during this, and they told me that if I had gone through them instead, I would have been covered to the limits of my policy and they would go after the other insurance company for reimbursement. So ever since then I’ve gone through my own insurance company. With that said, I always carry collision coverage.

On another occasion, one of our cars was totaled by a drunk driver. We dealt with our own insurance company. Their initial offer was pretty low. But I provided receipts for all of the work we had put into the car the previous two years and they raised the offer significantly.

27

Agreed. To get anything for the mental health issues (as well as pain and suffering), you are probably going to have to talk to a personal injury attorney.

You can try talking to the insurance company first, but I would expect them to offer a low-ball amount and also make you sign a release as a condition.

So it’s likely worth talking to an attorney. They will look at your case via an initial consultation, which likely won’t cost you anything. They then typically charge one-third of any settlement or award (assuming you win), plus expenses. They won’t take the case if it’s not worth their while, so they will have no hesitation in telling you if have a decent case or not.

28

Echoing @Procrustus - if your wife is suffering, get her treatment, she comes first, whatever your choices about the car. And of course, you both have my sympathy and best wishes.

Answering specific questions - In my experience (which is likely jaundiced), adding a lawyer for the Physical Damage side does very little if anything, and often increases your costs.

[ again, huge fudge factor for state laws, carrier differences, out-and-out shady companies, etc. ]

Most states have pretty boilerplate agreements making sure vehicle damage offerings are reasonably fair, not generous, oh hell no, but fair in the sense that a good adjuster in a total loss is going to show you how they got the vehicle’s final value (comps, salvage value, cost to repair, and any extra value like your new battery) and why it’s a total.

Absent shennanigans, a lawyer is going to charge you a few hundred to a thousand dollars to confirm it’s “customary and usual” for your state/market.

It’s your injury/PTSD claims where, exactly as Procustus said you may want to get a lawyer, but it’s likely NOT going to change anything about your vehicular damages claim.

Now, being extra clear, I didn’t handle injury claims. Way too much stress. But I still have a good bit of secondary info. In general (that word again) if you involve a lawyer, it shuts your conversation with the other carrier down completely. All communication will need to go through the lawyer, which may slow the repairs/settlement a bit. The Lawyer would want all communications to go through them for your protection.

The injury and expenses of treatment from your wife will most commonly go through your own coverage, both auto (MEDpay and/or PIP) first, then your own health coverage, and when complete, the carrier will subrogate their costs against the other company, and your lawyer will attempt to recover any of your out-of-pocket costs from them as well (co-pays, co-insurance, etc.). Which is helpful, but depending on the fees charged for the service, may not make a difference in final costs or quality of care.

Where the lawyer will be very helpful, is if you make a claim for pain and suffering against the other carrier. Whic his probably the only thing that is going to get you additional money, rather than just the typical insurance dodge of “making you whole”.

If you DID get a settlement for pain and suffering (or court judgement) you could choose to use some of it for additional car repairs, but that likely wouldn’t happen until after your wife’s treatment is complete, all the lawyers (on both sides) argue over the treatment, the degree of suffering, and settle in or out of court.

IE you should at least consult with a lawyer because of the pain your wife is going through, but in terms of getting your car fixed, it’s going to almost certainly be moot either way.

Again, I’m jaundiced, in this thread or one of the others, I had many a claim where I handled it in good faith (non-injury, note), a lawyer got involved, and I was forced to stop everything. Adding in a few months, nothing would happen, and either the legal team would take over, or 4-6 months later I’d get a letter saying the lawyer had withdrawn (no money) and a sheepish person would say they ended up paying a few grand to a lawyer who said everything was normal.

But that was reeeeaaaaaaaallly rare, most of the time I didn’t get a formal letter of representation, but a client might say they talked it over with a friend/family attorney to tell you the same sort of things I just related - not much to work with unless it’s an injury, and even then, it only changed the injury/pain and suffering part of the claim.

29

In my case where our car was hit by a drunk driver (with my son driving), I resolved all of the physical damage claims (going through my insurance company) first. The other driver was cited (maybe even prosecuted?) and at fault, so no issues there.

We waited about six months to contact a lawyer to get compensation for my son for any potential long-term health impacts from the high-speed collision (the other driver never even braked before rear-ending my son), as well as pain and suffering.

It’s the only time in my life I’ve ever dealt with a personal-injury attorney, but I was pretty motivated to do so considering the guy hit my son while driving drunk.

30

Our firm would handle the property damage portion without a fee, and help you with the personal injury portion for 1/3 of recovery. (in theory, we add at least that much value to the claim). I’m not sure most firms are willing to do that.

31

Do you think the amount the company is offering for the physical damage claim is unfair? If they didn’t take the car, would you be satisfied? What more are you looking for?

I think if you have a concrete objection to how they are handling it, a lawyer makes more sense than if you just want “more”.

32

That sounds more reasonable than the ones I often got the sheepish call backs on! Respect.

Again, it likely does little harm and should help if it’s done in conjunction with the claim for injury/pain and suffering. And it may help in making sure the carrier offered a reasonable compensation for things like the nearly-new battery which I was concerned about upthread.

33

Unfortunately, it looks like the personal injury angle isn’t going to work because at least three local law firms I spoke to today say they only handle physical injury, not mental/emotional trauma. Which I suppose makes sense, since it’s easier to prove and put a dollar figure to.

The first estimate for the repairs has come through at almost $12,000, but that’s from a company that a) wouldn’t consider doing a little less than the full job when I asked because they “have a reputation to uphold” and b) are a Mapfre-approved shop, so they may be padding the bill to make it more likely that I’ll just take Mapfre’s offer.

I’m waiting for an estimate from another shop that I hope won’t have either of those issues.

Meanwhile, continued silence from Mapfre. No calls, no e-mails, nothing. I assume delay, delay, delay is part of their game plan, hoping we’ll just give up and give in.

I have to admit that I find this process wearing. Even thought I haven’t actually spoken to the latest agent, I don’t like dealing with conflict, and I dread having to make each call. I assume that’s also part of their strategy.

34

Have you made Mapfre an offer that involved your keeping the car? They may just be waiting for you get back to them. Claims adjusters are often judged in part by how quickly they settle claims, and “just waiting” doesn’t really serve the interests of the insurance company.

(Maybe I’ve forgotten some important details?)

35

ISTM that I’m in a weaker position if I make an offer without knowing their position.

I suppose I could offer the $12,000 figure the first shop has given me, and see how close they would counter.

36

What’s the totaled value of the car? Tell them you want to keep the car, and ask for that. See what they reply.

37

How do I find the totaled value of the car? They haven’t made any offer. All I know is that they want to total it because they had a towing company call me to arrange to take it. (I said no.)

That and the messages I’ve left on the adjuster’s voice mail are only contact I’ve with her.

38

I looked up blue book values, but that was years ago. I don’t know what the best way to research that is now.

39

I think you said that your insurer was GEICO, so why not just file the claim with them and let them deal with the other company? (I can’t remember if you mentioned this in the thread.)

40

@puzzlegal: You mean its comp value before the accident? When you said totaled value, I assume you meant its value it its (wrecked) current condition.

The comp value ranged from about $2,000 to $6,000 depending on who you asked and what market it was being valued by, the former being the auction/trade-in price and the latter being the private party sale price. But since one estimate for repair is twice the highest of those, asking for $6,000 would still leave me to pay a fair amount out of pocket to get it back on the road. I may end up having to do that, but I’d rather not show my hand on a number that’s lower than they might offer (not likely I know, but…).

@Dewey_Finn: We didn’t have collision insurance on the car, so our insurance company will not handle the claim for us. Although now that you mention it, I might call them back for some advice on dealing with Mapfre.