Expert: Ron Cercone - 11/19/2009

Question
I bumped into a car that had stopped directly behind me while I was backing out of a parking spot. The car has large grey scrapes all along the front passanger fender. (Both cars were completely stopped but mine rolled back.) A smudge of tire wiped right off my cars bumper. I notified my insurance company that I believed all the scrapes and damages on her car were pre-existing. My insurance company told me that she had an apt. and was a no show. Then proceeded to tell me that they would notify me if she ever made a claim against me.  A couple months later I recieve my insurance policy and my insurance went up $30 a month, I called them up and she made the claim and I was never aware she did so. My insurance never contacted me, I never had a say in were they take the car to have it inspected and the insurance company wrote a check in their name for $700.00. Now I am paying higher insurance for something I honestly believe was pre-existing and was never informed about. Nor was the money used to pay for the car. Is there anything I can do to fight paying the insurance besides paying for a lawyer? Or what should I do? I just don't believe it's right to pay for someone else's damages!

Answer
Well unfortunately your policy says once you turn in the claim, your insurer has the right to settle the claim. I don't know if there may be law in your state which requires the insurer to check with you before making a settlement. It would seem reasonable that they give you the opportunity to accept or deny, and if you deny, then the insurer is excused from liability if the other party wins a judgment against you in court. I think it works that way at least in claims where litigation is filed? Check with an accident lawyer in the yellow pages.