Expert: Doctor Settlement - 6/13/2007

Question
My wife was hit from behind last weekend.  The police report confirms that the other driver was at fault.  Our insurance company wants us to pay our deductible.  If the accident was not our fault, do we need to pay this fee.  If we have to pay, will we receive reimbursment for the deductible?

Answer
Hi John,

In direct answer to your question, the process is correct: your relationship with your own company is contractual.  It is irrelevant to them whether or not you ever collect your deductible.  They have the obligation to repair your vehicle, and they will go after the tortfeasor for the subrogated claim of cost of repairs.


You pay them the deductible and then you collect it from the third party.  You need not wait for resolution of any personal injury claim by your wife in order to collect your deductible inasmuch as the property damage will be handled separately.

But what about a rental vehicle?  Unless you purchased the rental/tow package (which we advise all drives to do), your own company will not make a rental allowance.  You have to go thru the third party (tortfeasor's) company for that.

That topic does bring up the advantages of allowing the third party company to handle the vehicle repairs from the outset.  Maybe give that some thought since this is not a disputed-liability claim.

I hope your wife is OK: rear-enders are usually a surprise, and they usually end up in some soft tissue injury.  According to Our http://www.SettlementCentral.Com Members, Chiropractors are Most Effective in Severe Whiplash and Soft Tissue Car Accident Injuries http://www.settlementcentral.com/page8010.htm

Best wishes,

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