Auto Insurance Claims: State Farm represents both of us, Insurer, lies

Question
I was hit by someone that is also represented by State Farm.  When I called them,  they pushed very hard to get my car to their storage facility.  The rep. even lied by saying adjusters don't go to other facilities because it is unsafe.  They have proven themselves liars.  They only pay for 5 days storage.  If they get my car then they hold all the marbles.  they will have no reason to give a fair settlement or in a timely manner.  By the way, I was not at fault.  Do you have any advice for my situation?

Answer
Travis,

Thanks for the question.

First let me make it clear that while I am willing and able to provide you my opinion which is based upon my experience and gained knowledge of such issues, I am no longer working in the capacity as a licensed claims adjuster and am not an attorney and as such I cannot and do not provide legal counsel and if it is needed you should seek legal counsel from an attorney familiar with the issues in your area, With that out of the way....

Unfortunately...you are right in your assertions and I congratulate you on understanding what it is the insurer is attempting to do and the deceptive manner by which they are trying to do it with! Most consumers simply don't get it and as such they get taken unfair advantage of on a consistent basis...thus the reason this insurer and others like them do what they do.

While you have a duty to help mitigate damages (costs), you aren't obligated to do so at your own peril.
Here are some important tips to keep in mind:

1. The at-fault party's insurer doesn't owe you anything...the at-fault party that caused your damages owes you everything necessary to put you in the condition you were before...no better...no worse.

2. You're merely dealing with the at-fault party's insurer as a mere courtesy to the at-fault party just as you would hope a victim of yours would do.

3. You can rescind that courtesy at any time and seek your damages from the at-fault party directly.

4. Claims reps can go to any location to inspect a vehicle but they will do it much quicker and determine a settlement value much quicker and more equitable  at a facility which is charging a fee for storage.

5. Keep in mind that if and when they deem your vehicle to be a total loss, they know at that time what the value is. They do not need to move it to another storage facility to determine its value.

6. Should the at-fault party's insurer treat you badly, if you have collision coverage, you can go through your own insurer and they can collect (subrogate) the at-fault party's insurer.

7. There is no limitations on what they will pay for storage, rental etc. simply because you don't have a contract between you and the insure that calls for or limits anything!

8. Whenever an insurer tells you something that doesn't sound quite right...ask that they place their statement in writing and on their company letterhead or by e-mail. Insurer's will generally not lie in writing!

9. If they limit any portion of your claim...collect the unpaid portion from their insured and explain to them about their insurer's conduct!

10. If they repair your vehicle be sure to take it to a shop who works for you and not the insurer. A wise man once told me: "Never Take Advice on How to Collect Money From Those Who Owe it to You!"

11. If your vehicle is repaired you may be entitled to collect the resulting "Diminished Value". See our website (www.DiminishedValueExperts.com) to learn more about this.

This situation provides you a great lesson that all insurer's are not alike and cheaper is rarely better and better is rarely cheaper! Whereas the commercial: "15 minutes could save you 15%" let this be a lesson too that cheaper insurance could cost you thousands of dollars and place you and your loved ones in harms way in your time of need...or, could even get you sued by the party you damaged due to the insurer's failure to properly serve and indemnify them.

Of course you'll want to share you experience with the Good Neighbors with everyone you know to help them in their insurance purchase decisions.

Thanks again for your question and I hope this information is found helpful!

Barrett; Auto Damage Experts, Inc.