Expert: Bennie719 - 11/20/2007

Question
I received a phone call asking for money because I hit his truck,
I did not hit his truck, I asked my insurance co. for advice and they filed a claim. I have been all over trying to explain that I did not have an accident. but the owner of the truck reported the accident that did not happen.
How can I prove that there was no accident and the truck owner just made it up to collect from the insurance.
He also threatened that he would report it and my insurance would go up, it did by $1200.
Thank you,
Robert

Answer
Hi Robert,
You did the right thing by making a report to your insurance company.
Your company should have inspected and photographed your car
to verify that there was no damaged areas to your car and no
paint transfers from his truck.  They should have made the same  inspection of his truck.
It appears that your own company either dropped the ball on this one or simply paid the claim as a matter of 'convenience', because they decided it would cost more to fight than to pay.
I have seen this happen many times during my 34 active years
in the insurance business.  Neither myself nor my client was aware until he got his new bill with a large premium increase.
This situation can be resolved at least 90% of the time by yourself or your agent making an appointment with a claims supervisor to thoroughly review the file.  If you can convince him, after the review, that the claim was paid at the 'convenience' of the company, he only needs to write a short note to the company to have the code reversed and the penalty charge removed.
This is the only option that you have available.
I hope this has been of help, please write again if I can provide more assistance and include your state of residence and the name of your insurance company.
Your feedback by rating my answer will be appreciated.
Sincerely,
Bennie
San Francisco Bay Area