Auto Insurance Claims: Company is claiming more money for minor work, small claims court, moving truck

Question
Dear Sir,

I had an accident at a gas station while i went there to fill gas  in my moving truck. In this accident no one was injured and no other car was involved.

I hit the iron hop which is usually there beside the gas pump (red colored pole, which is mound shaped or hoop shaped). So some paint scratched during this accident and at that time i offered my service to repaint it. But the owner didn't allow me to do anything and after 2 months i did received a fat bill from the Main Agency (Conocco Phillips)  and now they are asking me to pay $723.00.

I have then sent them the pictures ( i had taken some pictures since they didn't allow me to do anything and i wanted a proof of damage) and asked them that all this was done without me being informed of it. Without my consent and agreement they have not only repaired it but also repainted it. I denied them paying this much amount and asked them to have 3rd party arbitration.

Again after 2 months i did receive their mail saying that it is not their duty to inform me when repair/rework is done on the damaged property.

So now they are threatening me to that they will send this to collection agency.

What kind of options do I have? Can i go to small claims court and file a case there? How can i not pay the amount which they are quoting. I have got the estimate from local painting agency by showing them the pictures and they have estimated that it will cost me around $170.

Further, in the picture I have a proof that it was already damaged a little bit by someone else.

I would be really grateful to you, if you please suggest me the steps that I can take to tackle this issue.

Thank you in advance for your assistance.
If you need more information please inform me.

Thank you.
Regards,

Dipesh Khakhhar  

Answer
There would be no reason for you to file a suit as you are the defendant.  
The only thing that their collection agency can legally do is send letters or make phone calls.  
If I were in your position, I'd send the gas company copies of the pics, a letter explaining your position, a copy of the estimate and a check for $170.  On the check, I'd write in the memo section "full and final settlement for property damage at xxx address on xxx date".  
They can take it or leave it.

If they call you, send them a letter informing them not to.
All they can do at that point is file a suit against you and if everything you are telling me is true, you'll likely prevail. At that time, you can counter sue for your time.

Good luck!