Insurance settlement (redux).

[Cougar Vibe]

A few weeks back I posted here about my old Ranger getting tapped from behind at a stoplight. Not a lot of damage, but enough to warrant some new paint on a rear quarter panel and some new bumper trim. Since it had some scratches already, it probably wouldn't be worth wasting the money from the settlement to have it professionally fixed. However, here is how I got screwed by the insurance company...For three days (working days) following the accident, I played phone tag with the claims adjuster assigned to me by the other driver's insurance company. Since I wanted to get this process moving forward, I took the iniative and got three appraisals in the meantime. The first shop I went too suggested that they could buff out most of the paint damage, as it was actually just paint from the other vehicle. No problem there...but the guy doing the estimate thought that two small scratches might have to be sanded, painted & the entire rear quarter panel clear coated. The trim on the bumper would also be replaced. Total of estimate: $138 initially, and if the scratches didn't buff out, he would re-estimate that damage and bill the insurance company again. The second and third body shops gave me far different estimates from the first. The fix was both generally the same: Remove bedliner and toolbox, remove pin striping, sand, paint & clearcoat the entire passenger side of the bed, reapply new pinstriping, replace bumper trim, and the reinstall bedliner & toobox. Totals of estimates: $587 & $545.So, figuring I'm gonna actually do this work myself, I decide to call the claims adjuster (again) and submit my higher estimates. After a few minutes describing the estimates, the adjuster asks me about the third estimate?!? Now I don't know how she knew about the first estimate I got done since I didn't mention it to her. Well, come to find out that the first body shop is their "preferred shop" in this area (I didn't know this or I wouldn't have went there) and they had already submitted the estimate for approval!!! Now I don't remember giving the body shop any information about the name of this insurance company, and I'm absolutely sure I didn't give them a claim number, but somehow or someway this estimate got submitted.All I can think of is that my truck VIN was in the insurance company's database, they had arranged for their preferred body shop to estimate the damage before I had ever spoke with the claims adjuster, and that I had just been unlucky enough to go there first without knowing that. Anyway, the adjuster thought that the higher estimates were out of line with the far lower one. So now what? I explain to her that the lower estimate didn't include any painting in the repair process; she said that was fine as they would do what was needed to be done after they try to buff the paint out. I told her that was not acceptable...that I wanted to know in advance exactly what was going to be done to my truck. The phone call ended on a less that cordial note, with me telling her that I wanted a few days to determine my options. Well, today I check the mail and guess what? THERE'S A FREAKIN' CHECK IN THERE FOR $138! What the hell? I did not tell that adjuster to issue me a check nor did I sign any estimate to have any work done. This is just crap. Now I don't know what the next step is, other than to play more phone tag and send the check back.

[remusrm]

you have the right to go to any shop... sue them in small claim court on basis that their own estimate sound rather vague, and the average ones were much more... also quality of work... btw, they can nto send you a check in mail... they have to see the car and all that...

[jake75]

Legally, I think your damages are value of your Old Ranger before the accident less damage after the accident. Someone backed into my ten yaer old Cadillac requiring repalcement of the front driveers siode quarter panel. The ins. co. wopuld not pay for a new quarter panel. I had to settle with one from a junkyard.

[mcgusto82]

you have the right to take your car wherever you to for repairs. they don't have that option. call them, tell them you shreaded the check and that they will be getting the bill in from YOUR body shop. who is your insurance provider.geico has never given me crap.

[goodvibe]

I think he's dealing with the other drivers company so as not to make a claim with his own company. The way to get satisfaction is to use his company where he has some leverage and make them get the cash from the other drivers company. He will however probably have to take it to the shop for repairs. This sucks but if he's going to fix it himself, he should just cash the check and get on with life. The time and frustration involved in trying to bleed that stone for a couple hundred more isn't worth it.

[03VibeGT6Spd]

Insurance companys (removed) me off with this crap.If you cash the check you except there deal and it done.you have the right to get it done by whom ever you want.Tell her your going to file a complaint, with your state insurance commisioner.I would bet you won't have many problems after that.Remeber they have to repair it, to how it was before the accident.They will issue you a new check for more.

[ragingfish]

Do you have any colleagues at a local dealer perhaps?When my Sunfire was totalled, my dealer asked us to show him the settlement offered by my insurance company. We showed him, he said it was way too low. He basically took on the job of negotiating with them for a more acceptable settlement. Ended up getting us a very fair settlement.Find someone who knows the car, knows the damage, and knows what's involved with repairs, that you can trust, and get them on your side.

[03VibeGT6Spd]

Quote, originally posted by ragingfish »Do you have any colleagues at a local dealer perhaps?When my Sunfire was totalled, my dealer asked us to show him the settlement offered by my insurance company. We showed him, he said it was way too low. He basically took on the job of negotiating with them for a more acceptable settlement. Ended up getting us a very fair settlement.Find someone who knows the car, knows the damage, and knows what's involved with repairs, that you can trust, and get them on your side.Thats even better dealerships have inflated charges.

[kostby]

1. (If you haven't already done it), DO NOT sign the check, deposit it, or cash it. By signing it, you are most likely agreeing to waive all your further rights and future responsibilities of the insurance company and/or the insured who hit you to any further claims of any kind regarding this accident, PERIOD.2. Claims adjusters play a numbers game. They're trying to settle as many claims as possible, in the shortest amount of time possible, and at the lowest possible cost to the insurance company. The sooner they mark your file 'closed', the better they look to their bosses. 3. The other reason insurance companies try to settle quickly is that, just in case you suffered, for example, a debilitating neck injury in the collision that won't manifest itself for days, weeks, or months, but will take lots of money and years of expensive treatment to cure, they've already got your signature on a legal document (check) saying that you've already settled any and all claims against their insured, now and forever more, amen.SO, if you truly think you've been/you're being 'shafted' AND it's worth a few hours/days/weeks/months of your time to pursue...FIRST, contact the insurance company and GO OVER THE CLAIMS ADJUSTER'S HEAD: Talk to their immediate supervisor. Keep escalating up the management chain of command until you get to talk to the person with authority to give you what you want. You MUST document date, time, and the gist of every phone conversation you have and the name of everyone you talk to. Then, insist that you get any and all promises made over the phone in writing. Verbal promises aren't worth anything.If you're still unable to reach what you truly believe is a satisfactory settlement, THEN take your documentation to your state Department of Insurance/Insurance Commissioner for further action.Another alternative is to report the claim to your own insurance company. They'll pay you to repair the damage, and then THEY get to hassle with the other company to get reimbursed.

[Cougar Vibe]

I just want to thank everyone for the opinions. I've got a fair amount of spare time to deal with the insurance company (I'm a "Houseman"), but I just don't possess the desire to get adversarial with people. When this accident first happened, I honestly didn't think it was $600 worth of work...and if I were to get a check for that, I'd probably feel a little guilty. On the other hand, $600 would set me up with a nice set of snow tires mounted on steel rims.Since I haven't signed the check yet, I'm gonna spend a the next few days trying to get some answers about the claims process and how this whole situation is supposed to work. Perhaps I'm gonna be stuck with this settlement...but I can buy touch-up paint and some polishing compound for less that $20...so it wouldn't be the end of the world.

[kostby]

Quote, originally posted by Cougar Vibe »Since I haven't signed the check yet, I'm gonna spend a the next few days trying to get some answers about the claims process and how this whole situation is supposed to work.I'm not a claims adjuster, but I worked in the IT department of an auto/home insurer for about 10 years, and took a number of 'property & casualty' insurance classes.The purpose of insurance is to restore you (the 'injured party') to the financial condition you had before the accident occurred. If someone damaged your old pickup truck, they owe you the reasonable cost to repair your old pickup truck to the same condition it was in before the accident. NOT better. The SAME.The insurance company has the right to make the claim check payable to BOTH you AND the body shop that submitted the lowest estimate, and require BOTH of you to endorse the claim check, to help ensure that you DO get the work done there, and don't just pocket the money.Please reread #2 in my post immediately preceding yours. That IS the claims process in a nutshell. Here's more detail...Sorry, I can't explain how they got your 'lowball' estimate without your consent, unless the shop is a somehow an agent or somehow affiliated with the insurance company.Never forget that claims adjusters work for the insurance company, not for their insureds, nor any 'injured party' that suffered the economic loss in the accident.They're not intentionally trying to 'screw' injured parties, but it is their responsibility as company employees that they settle claims as fast as possible, and at the lowest cost possible (including administrative costs, costs of trips to see the damaged property, trips to see the accident site, cost of accident reports from the law enforcement jurisdiction) to the company. They're certainly not EVER going to make claimants rich at the company's expense if they can help it. Most claims adjusters (even trainees and rookies) are reasonable, fair, and honest, most of the time. They have good days and bad days, just like everyone else, and they occasionally do make honest mistakes.Here's the detailed claims process for a sample auto collision case:The 'injured party' (you) contacts the insurance company to report a claim against their insured. The claim is assigned a claim number, and the claim details are given to a claims adjuster for initial investigation.1) Claims adjusters first determine if the loss reported is a "covered loss". A) Was one of their insureds involved in the accident?B) Did their insured have an insurance policy in effect at the time of the accident?C) Is the loss a 'covered loss', according to the policy in force at the time of the accident. If the loss isn't covered, for whatever reason, basically they are off the hook, and the case is quickly closed without payment.2) If there IS coverage, then the claims adjuster must determine if their insured is 'at fault' in most states. This may seem backwards. Why wouldn't they determine if their insured is at fault first? Because if the policy doesn't include 'collision' coverage or was expired at the time of the accident, then there IS NO collision coverage and no need for further investigation, regardless of who is at fault.3) If their insured was obviously 'at fault' (his car hit your car, obviously damaged it, and there were several reliable witnesses AND a police report to coroborate it), it's a simple case of 'our insured obviously hit your car and we don't dispute it'. The claims adjuster will attempt to quickly settle the claim, asking the claimant to get several repair estimates and submit them (as you did). Adjusters are given dollar authority up to a certain dollar amount (and ALWAYS within the stated limits of the insured's insurance policy.) Depending upon the size of the company, the first-level ("rookie") claims adjuster might only be authorized to make auto claim payments up to $500.00 without the approval of his/her supervisor. ($500 sounds awfully low. It's only a guesstimate on my part, given the circumstances you have. If your claims adjuster isn't authorized to settle claims over $500, they they're going to try very hard to keep the settlement amount under $500, rather than go through additional review and hassle.) Any claim that goes above that limit needs a review of the claim and written approval of their supervisor. It's obviously to the claims adjusters' advantage to keep claims below his 'approval limit' whenever possible, because extra reviews mean they settle fewer claims and take more time.The higher the dollar amounts, the more review and more approvals needed up the chain of command. In the case of a claim over, say $25,000, you're probably going to have to see them in court first.Hope this helps.