When Insurance Companies Can’t Agree On Who’s At Fault

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When Insurance Companies Can’t Agree On Who’s At Fault

Unread postby RatPak11 » Thu May 15, 2014 12:00 pm

http://sacramento.cbslocal.com/2014/05/ ... -at-fault/

Call Kurtis: When Insurance Companies Can’t Agree On Who’s At Fault
May 7, 2014 5:37 PM
Kurtis Ming

MODESTO (CBS13) — Involved in a parking lot fender bender, Jimmy Price thought his insurance would have him covered.
But months after the accident, his insurance company and that of the other driver don’t agree on who caused the accident.

When the other insurance company sent him to collections for $3,400, he wondered whether he should be stuck with a bill, if the insurance companies couldn’t come to an agreement.

Price said he was pulling into a parking spot when the driver of a silver Chevrolet sedan opened her door into the right side of his truck.

Price thought it was clear he was the victim, he said, showing Call Kurtis the large curved dent in his fender.

“You can actually even see the way [the other driver's] door is curved,” he said. “How is that my fault?”

But when the insurance companies got involved, each said its driver was not legally responsible for causing the accident.

Price said the other driver’s insurer, Allstate, sent him to collections for more than $3,400 to cover the other driver’s damage.

“It’s turning into a nightmare now,” Price said.

The California Department of Insurance’s Nancy Kincaid said drivers should never get a collections notice from another insurance company, unless their insurance doesn’t know about the collision in the first place.

“It doesn’t make sense for [Price] to get a collection letter,” she said. “It sounds like the insurance companies probably haven’t connected the way that they should.”

We reached out to Price’s insurer, National General.

A company spokesperson told Call Kurtis it didn’t know why Price was sent to collections.

“I don’t know why Allstate did what they did,” the spokesperson said. “As soon as we found out, we let Allstate know all claims should go through us.”

Allstate refused to explain any specifics, but said Call Kurtis had not heard the whole story.

“The information that you have been provided is not factual,” a spokesperson said. “We dont have any response to erroneous claims.”

National General said its now defending Price against that collections notice.

Still wanting his truck fixed, too — Price is considering taking Allstate to small claims court, he said.

“Something like this has never happened to me,” he said.

What complicates things here is Price had the most basic insurance that only covered damage he causes in a crash.

If Price had insurance to cover his own damage, his insurance company would have covered it, and then it would have had to figure it out with Allstate after.


john k. • 6 days ago
looks like the silver car is at fault by the damage. this guy shouldn't get any bill.

jc • 7 days ago
This is a very common tactic used by Allstate's subrogation department as a way to justify(read: extort) other carriers to contribute to these types of nuisance claims. I am a claims professional and I have seen this happen dozens and dozens of times. Here's how it plays out - each carrier gets statements of both drivers. In this case each carrier sided with their own driver as to who was at fault. Both carriers would send subrogation claims to each other,which would both be denied. In essence, its a wash. Neither side's case is really proveable without incurring far more expenses than the claim is even for so most carriers would just drop it. Allstate does this stuff ALL THE TIME. I have even seen them initiate litigation over very minor, less than 1k ' he said/she said' claims. don't believe the nice guy's voiceon their commercials, their claims practices are questionable sometimes.
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