Expert: Ron Cercone - 2/4/2009

Question
I recently was in a minor accident. I rear-ended a lady driving an SUV.  Since my car sits lower to the ground, I incurred more damage but nothing I can't live with. The other driver's car had a rear wheel cover on it which she wants repaired even though it has no dents only scratches and some missing paint. The dealership has quoted her $527.00. My deductable on my insurance is $500.00.  If the claim is filed with my insurance, am I correct that they will only pay $27.00?  Also, can't I request at least 2  more estimates on the damaged part?  I am willing to replace the wheel cover, but come on...$527.00 seems excessive.

Answer
Get a copy of her dealership estimate. If they are figuring to replace the cover, then you can take depreciation. You only owe what a used cover in similar condition would cost. If you turned it in to your insurer, they would only pay depreciated costs, not brand new replacement. Now if the dealer is going to repaint the cover, then don't depreciate it unless the paint is obviously faded.

There is no deductible for liability coverage, so your insurance would pay the full amount, less depreciation. Also your insurer can tell her to get 3 estimates, or they can send their own estimator out to inspect the car. The suv owner has to show her car to you or your insurer (if she wants her money).

You can't "make her" take it to your shop for an estimate. But you can show photos of the van to your shop for an estimate. Also, if she wants to get paid by you without having to sue you in small claims court, then she will try to cooperate and may take it to a shop of your choice.

Your insurer will raise your premium if you turn it in to your insurer. Check with your agent to see if it is worth it. If there was a police report, then your insurer may find out about the accident anyway and raise your premium even if they don't pay the claim. If there is no police report and you pay the van owner, then your insurer will never know of the accident, unless you tell them.

And if you are going to turn it in to your insurer, you may as well have them pay for the damage to your car, if its over $500.00, because they will raise your premium anyway.