Auto Insurance Claims: Collision Liability, small claims court, automobile accident

Question
Hi Richard,

I was recently involved in an automobile accident.  I was parked in a private parking lot and someone hit me as they were pulling out of their spot.  She hit my front right headlight and damaged the bumper.  I wasn't in the car but someone came and got me, we exchanged name and number but not insurance information.  I now know to get insurance information but this time I guess I was lucky she followed up and had her insurance call me.  

Her insurance claims that I was "parked illegally" and said that we should split the cost.  It was a small lot with no signs or makings except for the lines that mark the spots.  I parked to the right of the last line but I wasn't blocking the exit or her path at all.  She had plenty of space and even if she didn’t, she could’ve just came and got me.  I had thought that since I was parked and stationary that she's completely at fault.

Her insurance also said that they have 30 days to investigate according to state law(I live in Pennsylvania).  They also insist that I use a body shop designated by them even though I've gotten three estimates in the range of $1200 to $1400.  Can they take that long even if my car isn't technically drivable and can they force me to use their body shop?  It seems like she's the victim and I have to wait for her.

I also talked to my insurance and they think I'm not liable at all and suggested I fix my car through them.  I'm hesitant to do this because I have to pay my deductible first as they try to get the other insurance to pay up.  I'm worried that the other insurance won't fess up and I'll be stuck with the bill.  A friend of mine said that if it came to it, my insurance will provide me with a lawyer to litigate in small claims court, is he right?  

So, I was wondering if you could offer me some advice as to what I can and should do.  I don't want to wait 30 days and risk additional damage to the car.  On the other hand, I don't want to pay and have my rates go up when I was the one that was hit.

Thanks in advance,
Mike

Answer
Hi Mike,

It is true that the insurance company has 30 days to investigate and either pay or deny the claim. However, if they have taken statements from all involved and liability is clear it would be in bad faith to wait the whole 30 days to pay the claim. Some insurance companies will try to do this just to force you to go through your own insurance so they do not have to do any work.

If you do go through your own insurance they will do their best to negotiate with the other insurance company to get back their money as well as your deductible. If they are successful in collecting 100% there will be no effect on your premiums.

As far as liability is concerned, you are absolutely 100% not at fault. Any time someone hits a stationary object they are at fault, even if your were illegally parked. This is another tactic some companies use to convince you that you were partially at fault to reduce what they will have to pay.

As far as your company providing you an attorney, this would only occur if you were being sued as a result of an accident. They would provide you with a defence attorney. They will not provide you with an attorney so that you can sue the other party.

You should contact the other insurance company and calmly but firmly advise them of what you now know. If the adjuster does not work with you, demand to speak to the claims manager. If they will still not play nice then you may have to go through your own insurance company.

I hope this helps
Richard Hixenbaugh