Expert: Doctor Settlement - 7/5/2006

Question
My car was parked in front of my home and hit as part of a 3-car accident.

The insurance company for the vehicle that struck mine, is saying that the car was taken without permission (by the policyholder's soon to be daughter-in-law), and was therefore considered "stolen". I intend to fight this and want to personally visit the insurance office with documentation of their policyholder's liability.

My understanding of Washington State law is that unless the vehicle is reported stolen AT THE TIME OF THE ACCIDENT, the policyholder and insurance company are still on the hook for damages. However, after an exhaustive search of the RCW online, I cannot pin down the exact citation for this.

Can you help?

Answer

Dear Kent,

I have no knowledge of a statute such as you have imagined.  How could that possibly work?  Someone steals my car from the movie parking lot, drives away and is in an accident, and I don't even know the car was stolen.

So you can see that it makes no sense to require insurance companies to pay in that circumstance, since the thief is clearly a non-permissive driver.

It is likely true that the Omnibus clause of the policy does contain a definition of authorized users, and all others who are not authorized are non-permissive users.

The exceptions clause will state that non-permissive users are excepted from coverage.

That does not mean you will not be compensated.  The whole thing is a little fishy, and so let them show you a police report on the allegedly "stolen" car.  Let them show you an ongoing police investigation where they are going to charge this woman.

Plus, if in fact they are not deceiving you, then YOU GO TO THE PROSECUTING ATTORNEY AND ASK FOR RESTITUTION so the woman will have to pay out of her own pocket.

So, I would go on the idea that they need to file a stolen car report.  You could file a complaint with the nation's very best insurance commissioner, Mike Kriedler http://www.settlementcentral.com/links.php  His site has exceptional help for consumers and injured persons.

For my money, I would do that on the one hand, and on the other hand I would spend the $50 or whatever is required and file a claim in small claims court (limit $4,000--and no attorneys can appear unless authorized by the court) or district court (limit $35,000), but attorneys are allowed there.

Sue both the owner and the driver.  THAT will bring some insurance out of the woodwork.

Best Wishes,

Dr. Settlement, J.D. (Juris Doctor)
http://www.SettlementCentral.Com