Auto Insurance Claims: auto insurance fraud, auto insurance fraud, fraud charge

Question
Hey webfoot,

I asked this question to someone else before reading your profile. You seem very adept at handling questions about my situation. I apologize if asking the same question to more than one expert is bad etiquette, I just want as many opinions as possible.

I do not know why I am embarrassed to admit this online... but I did in fact fabricate a story. I crashed my car up and then reported it stolen. Obviously I found it (it had been impounded). I later amended my testimony to my insurance agent saying that I knew the guys that stole my car and I don't want to press charges. I just wanted to pay for the damage out of pocket without involving my "friends". I figured this would get them off my back. I was scared and stupid. I just want to pay for the damages myself and not involve the insurance company. If I go ahead and pay for it will they get off my back? Will the claim be withdrawn? He said that they could not withdraw a claim because there is a lien holder. Another expert here told me to go ahead and pay for the damages and then tell my insurance company that it has been fixed. Then they could send someone out to make sure it was fixed and then they really had to drop the claim.

I talked to my insurance agent the other day and he told me that if I wanted to admit that I was driving the car I could. He said, "Hey, this is just me and you talking. You know that if you crashed the car you are still covered under collision, right? Come on, are you really being honest here? You can admit you were behind the wheel." Is he legitimately trying to give me an out or bait me for a serious fraud charge?

The claim has not yet reached to a level where they are doing an investigation. If I call him up and just admit the whole thing what is most likely to happen? Do you think he will appreciate my honestly and try to work with me, or do you think he will immediately press charges? And if charges are pressed, what would the legal consequences be in this situation? I would like to think that this isn't as serious (yet) as it could be.

I want to stop this crap before it gets to an even more serious point.
Any and all advice is appreciated!

Answer
If you have collision coverage, then an at fault accident has to be covered.  

As far as fraud charges, that would be a bigger concern had you not been covered for collision.  For them to push fraud charges, they have to first prove that you had something to gain monetarily.  In this case as you were covered either way, the only gain would be a possible difference in the two insurance deductables.  As that is likely only a few hundred dollars at most, I do not see any agency having an interest in prosicuting such a case.  

I would go ahead and file the claim under collision, tell them what happened and the worse likely outcome is that the insurer may choose not to renew your policy upon expiration.
Now if you filed a false theft report with the local police, you may have an issue there, depending on the agency.

I'm guessing that you are young, may have been drinking, crashed your car and used poor judgement.  Please tell me that you didn't run into anyone else and take off though.

Good luck!