Auto Insurance Claims: Injury claim, auto insurance company, insurance adjuster

Question
My dad drove my SUV and met with an accident nearly two years back and was found to be at fault. I was not involved with the accident and my dad was not part of my SUV insurance policy. My dad was living with me, but has moved overseas.

Apparently the insurance company had agreed to pay $20K when the injured party asked for $80K. From what I heard, there seems to be no permanent injury to the other party.

The injured person's  lawyer informed the my insurance adjuster that they would sue when a settlement could not be reached.

The injured person is now suing myself and my dad for $140K. I received a summons two days ago, but neither of us need to appear in court.

My adjuster said that the $140K mentioned in the summons is a "prayer" amount, meaning they are praying they would be awarded that and that they would continue to work towards a settlement still outside of court. If they are unable to reach a settlement, the money awarded would be for much less thank $140K.  My insurance coverage allows for $100K for bodily injury.

The injured person is trying to get that to the max, I guess. Now the insurance company has appointed an attorney on my behalf. No cost to me thus far, touch wood.

I would like your advice on the following:

1, Would the auto insurance company typically settle out of court, once the lawyers have sued?
2, If we are sued for $140K with a coverage of $100K, would the judgement be over $100K?
3, If there would be an cost to me from the court hearings.

Answer
1, Would the auto insurance company typically settle out of court, once the lawyers have sued?   MOST CASES SETTLE EVEN AFTER SUIT IS FILED, BUT SOME DO GO TO TRIAL.
2, If we are sued for $140K with a coverage of $100K, would the judgement be over $100K?  NO ONE CAN PREDICT A JURY AWARD WITH CERTAINTY.  BUT YOUR ADJUSTER SEEMS TO THINK THE LIKELIHOOD OF AN EXCESS VERDICT (OVER 100K) IS VERY SMALL, SO I WOULD NOT SPEND ANY TIME WORRYING ABOUT SOMETHING THAT IS VERY UNLIKELY TO OCCUR.
3, If there would be an cost to me from the court hearings.  NOT LIKELY.  THIS WILL DEPEND ON YOUR POLICY.  YOUR ADJUSTER CAN ANSWER THIS QUESTION.

Lawsuits are always scary, but 99.99% of the time the insured has nothing to worry about.  So please do not spend time worrying about something that will almost certainly not be a problem for you.