Auto Insurance Claims: credibility?, proof documents, dollar demand

Question
I Rear-ended someone 2 years ago and now he is trying to sue me for bodily injuries. How is this possible seeing as he did not report any injury/pain and the accident scene or in the police report and didn't file with insurance until 2 days after. How could his information be credible? In other words how can he prove he wasn't injured after the accident and is trying to seek compensation through the accident? Thanks.

Answer
Hi Dave,
Every state has a statue of limitations.  This is the time frame within which a party must fully settle a claim for their injuries, file a lawsuit or forever lose all rights at recovering money for injury.

The statue of limitations varies from one to five years, depending on your state, with the most common being two years which applies in about 23 states.

All the information about their being an injury may be news to you,
but your insurance company has been aware since shortly after the accident.  As a part of their obligation to you, they have been working with the other party and/or his attorney trying to agree on a fair settlement.  This is their legal obligation under the policy terms.  It is not normal that they inform you of the claim or how it's progressing, but to try to settle the claim and keep the issue from being a mental distraction or burden on you.  The injured party has presented "proof" documents to your insurance company which they have fully analyzed and verified.  Based on this "proof", the injured party also submitted a 'dollar demand'.  Your company feels that the demand is to high, based on the 'proof' that has been submitted and has been working with the other party and/or his attorney for a more satisfactory (lower) amount.

Since this claim hasn't been settled, the injured party had to file a lawsuit to protect and extend his statue of limitations.

If you haven't yet contacted your insurance company, do so immediately.  If you were served with a lawsuit, they will want a copy along with all the details of how you were served.

The odds are greater than 85% that this lawsuit will never go to court, but it does give the involved parties more time to negotiate toward a settlement.

If it goes to court, your insurance company will provide a legal defense for you.

I hope that you find this information helpful.  Your feedback by rating my response will be appreciated.

Sincerely,
Bennie
San Francisco Bay Area