QuestionI was in a car accident, in Calgary Alberta, in my room mates car. I have a valid license but no insurance of my own. I feel the accident was the other drivers fault for making a left hand turn from on coming traffic in front of me causing me to hit him. The car i was driving will most likely be written off. And his only had miner damage to the front passenger fender. Neither of us were injured. Now here is the problem. My room mate had just insured the car that week, still had a pink slip proving she was insured. However when the insurance company went to take their first payment she didn't have enough money in the account for the payment to come out. So she has yet to pay for insurance but the claim has already been filed. She is planning on paying for her insurance tomorrow if they will let her. So my question is because i was not at fault from the accident even if her insurance gets canceled the other party involved in the accident will still have to pay for the car and rental car that we had to use as a replacement. Basically I'm asking to make sure we will have no out of pocket expenses. I know i should be in the clear because it is her insurance that is the problem, and i was at no fault in the accident. Unless i am wrong. Please if you could clear some of this up that would be a great help.
AnswerHi Clay, Dr. Settlement here--back to work after a LONG sickness.
Sorry to leave you with no help for the past week, but I have been out of the office with a nasty “double-ended” flu. SCC’s own Morgan Jacobsen said that she wrote to you about it, with the offer to get an early response via my website, I hope my sickness did not cause you any inconvenience.
I am sorry to tell you, but Dr. Settlement does not know the first thing about the insurance laws in Alberta, except that I heard some injured victims complain that the former Premier, Ralph Klein, had bowed to the insurance industry and limited pain and suffering awards to some inane amount, like $4,000. That is the extent of my knowledge of your insurance laws.
However, I CAN tell you why the Oilers WILL beat the Flames at Rexall Place this Sunday. But you did not ask about sports.
Here, Clay, let’s take your situation as if it were stateside and see if we can analyze it piece by piece. Again, the laws here vary state-by-state, so we are going to just provide the majority of state rulings on the FOUR issues your case presents.
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The first issue is one of contract: can your roommate make good her check that bounced? My answer is YES—BUT TENDER A CERTIFIED OR CASHIER’S CHECK IN WRITING ASAP. Do not let her dwiddle around talking to an insurance agent over the phone. Make her get a letter to the company in which she makes good the payment that bounced. She should have the right to make it good.
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The second issue is: what is the responsibility of the tortfeasor’s company with regard to vehicle damage, rental costs, and medical bills and injury compensation? ANSWER: they are fully responsible. I would call your local police or RCMP office to see whether or not an accident report should be filed, and make the filing ASAP.
Here is some general information on rental car rights http://www.settlementcentral.com/page0458.htm following auto accident damage.
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The third issue is to listen to your bodies and to get medical attention when you feel any aches or pains that continue for a day or more. You were in an accident that was hard enough to “total” your roommate’s car: hence, there likely was sufficient trauma to cause soft tissue injuries.
GET MEDICAL CARE FOR YOUR INJURIES—whether she agrees or not, DO IT NOW. You were involved in an accident with a lot of impact. It is likely your bodies suffered trauma sufficient to cause injuries. And there is no reason why you should suffer. Plus, if you get medical or chiropractic care, you are entitled to recover for personal injuries from the tortfeasor.
DO NOT SETTLE YOUR CLAIMS UNLESS BOTH OF YOU ARE ABSOLUTELY CERTAIN THAT SOFT TISSUE INJURIES WILL NOT REAPPEAR ONCE YOU STRESSE YOUR BODIES WITH PHYSICAL ACTIVITIES OR JUST DAILY LIVING AND WORKING. That Plays Right Into an Insurance Tactic Regarding Inducing Early Settlement of Injury Claims.
Let's just finish up this topic of early settlements so you get the full picture of the advantage to them and the risks to you. Insurance companies like to settle early because the general damages—claims for pain and suffering—are always minimal, but continue to grow with continued medical/therapeutic care over the months. Therefore, the insurance adjuster will try to settle before the claim merits a larger pain and suffering element. This makes good sense for the insurance company. A claim that is still active after 12 months, with an injured claimant still undergoing treatment, will settle for a lot more pain and suffering money than a claim that is settled after two or three months of treatment.
In soft tissue cases such as this, the full extent of most injuries is not known immediately after finishing early rounds of treatment, because the injured person has to undergo some of the wear and tear of everyday life, including the pounding her body will receive from a day's work. Even jobs that appear not to be physically demanding can be hard on an injured body.
For example, have you ever stood all day with few breaks, as a store checkout clerk or a jewelry salesperson does? Or sat all day at a computer, as a secretary or phone service center employee does? Many jobs will interfere with healing, and you have no way to know how your wife's body will respond until she has experienced sufficient physical exposure to load-test the scar tissue as she heals.
Plus, who will pay for your medical care incurred AFTER you settle? What if you were to settle now and nine months later when you are suffering at work and the pain starts to become too much, and you go to a doctor only to discover that you can expect a course of treatment that will cost a lot of money? After you settle your claims, all further treatment is YOUR responsibility. Except in specific, unusual situations, you cannot go back and re-open a settlement.
Here is another page from my website that shows in detail why you should never make an early personal injury insurance claims settlement http://www.settlementcentral.com/page0211.htm
And, of course, once you settle, THAT IS IT: you and your roommate will never see another dime in pain and suffering money. By the way, did you know that getting an early settlement is a favorite trick of the insurance adjusters? Please see my website wherein we show Insurance Claim Adjuster Secret Tactics http://www.settlementcentral.com/page0092.htm
I know that you think this is going on too far with this one topic, Clay, but I HAVE TO TELL YOU that this is a REAL danger that I have seen many times. So just have patience a bit longer and commit yourself to convey the following to your roommate:
There may be a dull ache at night following a day at work or some physical activity or pain the next morning. DO NOT LET LITTLE PAINS GO UNATTENDED SINCE YOU DO NOT KNOW WHETHER THEY WILL CONTINUE OR GO AWAY. We all hope and believe that such little pains will disappear soon. But on the other hand, we have no way of knowing since this is the way serious fractures and soft tissue injuries can behave.
So, when this happens, even if a couple months or more post-treatment, do not hesitate to SEE A DOCTOR AND ATTRIBUTE THE PAIN TO THE ACCIDENT WITHOUT EQUIVOCATION. It is NEVER TOO LATE TO REPORT PERSONAL INJURIES FROM A FALL ACCIDENT http://www.settlementcentral.com/page0104.htm
"No medicine: no money"; medical costs increase worth of personal injury insurance claims http://www.settlementcentral.com/page0045.htm
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The fourth issue is how to get the most money for your roommate’s car—or does she want to keep it? Did she make recent repairs, and if so, were they general maintenance or purchases that would result in higher actual cash value (FMV)?
As for the repair bills, you do not get paid for maintenance and upkeep UNLESS YOU CAN SHOW THAT IT INCREASED THE ACTUAL CASH VALUE OF THE VEHILCE (aka fair market value). Different story if your roommate added some equipment or put on new tires or replaced an expensive part that will increase longevity of the car. Fight for those items by getting a local used car dealer to tell you how much those expenditures increased the value of her car.
PROPERTY DAMAGE: THREE IDEAS FOR COMBATING AN OFFER OF AN UNDERVALUED VEHICLE THAT THE INSURANCE AGENT WANTS TO TOTAL
• First, consider lowering the repair cost by repairing with USED and/or NON-Original Manufactures' Equipment (OEM) PARTS and stipulating to ignore some cosmetic damage; that will allow the insurance company to do the repairs within the percentage of allowance of actual cash value that it has already specified; OR
• Second, buy back the car from the insurance company as salvage, repair it, re-title it, re-license it, and KEEP HER CAR; OR
• Third, fight the actual cash valuation with your own research and communicate in writing. My favorite sites for valuation are www.Edmunds.com and www.autotrader.com. They want to know your zip code, and then they ask for a range in miles to search. Don't limit yourself to your city: it is reasonable that someone could go up to 400 km to pick up a used car. That way you will get a lot more information. Be aware that you should pick the option "any distance" from your zip code.
You can use information from local papers, advertising flyers, car dealerships, and the Internet.
Be aware that the prices shown are the "asking" price, not the actual cash value. But also be aware that the insurance adjusters have used a computer scan of sales that were at the trade-in value, NOT the actual cash value.
If your roommate has made major item replacements, above and beyond normal maintenance, you need to document them and ask for a review of those extras. For example, a rebuilt transmission or the like will add value to a used car. How about new tires or a new stereo system? The issue is: how much (if any) did they increase the FMV or actual cash value of the car. See this link and scroll to the bottom for more information on that topic. Car Accidents: Totaled, Repair, Valuation, Your Rights http://www.settlementcentral.com/page0007.htm
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FINAL TOPIC, Clay: Effective communication with insurance claims adjusters. Establish Firm, Professional, and Positive Relationships With the Insurance Injury Claims Adjuster http://www.settlementcentral.com/page0059.htm
Always communicate with the adjuster in writing, showing your own analysis of value. It is OK I guess to have one call or so, but no more. Always have your information and ammunition in writing to give to the adjuster.
Let her know that you are FIRM IN YOUR RESOLVE to get what you are demanding (NOT "asking", since that invites a counter-offer, but instead "demanding" as fair and reasonable compensation) by asking her what the options are to resolve the matter fairly should she not agree to a reasonable claim value. In other words, let her know that you will go through with a court filing if need be.
Remember these tips, do your homework, print out your evidence, show resolve to get your fair settlement, and you will DO JUST FINE.
I trust that my time here has produced some information that has been of value to you, and thus I would respectfully request that you take the time to locate the FEEDBACK FORM on this site and leave some feedback for me.
Best Wishes,
Dr. Settlement, J.D. (Juris Doctor)
http://www.SettlementCentral.Com
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Doctor Settlement has been out all week with a vicious "going at both ends" flu, and he is not going to return until Monday, at the earliest.
He says is sorry he did not get to your question, but he is committed to answering you this weekend.
If you need any emergency help, write to him at our website, below, and put in the title "allexperts.com question".
One of us at the staff will answer you ASAP. Otherwise, if you do nothing, Dr. Settlement will answer your personal injury insurance claim question this weekend.
Best wishes,
Morgan Jacobsen, J.D.
www.settlementcentral.com
