QuestionMy car was stolen May 30th, and recovered the very same evening. It took 2 1/2 weeks before the insurance company could move my car to a Body Shop for repair due to the delay in the filing of the police report. Once the report was file Progressive contacted me to inform me that they were ready to move the car to a body, but they are leaving it up to me to find a place. The body shops they usually work with are still back logged due to hurricane Wilma, so they cannot assist me with finding a collision center. I then made countless attempts to find a shop with no luck at all. They are now stating that they may have to deliver my car to my home without any repairs done and make the check payable to me. Until i find a body shop to do the repairs i am out of a car and in a week or so out of a rental.
Is it legal to put the responsibility on me to fix the car when I pay them to do this for me? And since the car isnt being fix because their body shops are back logged, is it fair that they will cease paying for the rental after 30 days? Please advise and thank you.
Answer
Dear Tomica,
You asked what you think is a simple question, but there are five different issues involved. I will get to them, but first, my bottom line is: 1) even in light of a natural disaster, I believe you are owed a guaranteed rental until repair (and I WOULD CONTEND SO IN WRITING); and 2) I want you to contact your state insurance commissioner: http://www.settlementcentral.com/links.php
Make inqiry on their "hot line" and consider filing a complaint. THAT can get the attention of the supervisor pretty fast!
Now, let's address your comments so that you do not misspeak yourself when it comes time for the insurance commissioner complaint. I will answer your comments IN ALL CAPS so you can distinguish my remarks, OK?
"Is it legal to put the responsibility on me to fix the car when I pay them to do this for me?"
YOU DID NOT PAY THEM TO FIX YOUR CAR. YOU PAID THEM TO GIVE YOU MONEY SO YOU CAN FIX THE CAR. PLUS YOU PAID THEM FOR A RENTAL FOR A REASONABLE TIME UNTIL THE CAR CAN BE REPAIRED.
TAKE A LOOK AT YOUR POLICY AND SEE WHAT IT SAYS ABOUT THEIR DUTY TO REPAIR THE CAR. I WILL BET THAT IT SAYS THAT THEY WILL PAY FOR THE REPAIRS, NOT THAT THEY WILL DO THE REPAIRS.
MANY PEOPLE STATE THAT THEY DO NOT WANT THEIR CAR REPAIRED; THEY JUST WANT THE MONEY. UNLESS YOUR CAR HAS A LIENHOLDER (THE BANK), YOU ARE FREE TO TAKE THE MONEY AND TO DO WHAT YOU WANT WITH IT.
"the car isnt being fix because their body shops are back logged" "THEY" DO NOT HAVE ANY BODY SHOPS. THE FACT THAT THEY HAVE PREAPPROVED SOME BODY SHOPS TO MAKE APPRAISALS FOR THEM IS DONE TO FACILITATE REPAIRS, AND THAT DOES NOT MAKE THOSE SHOPS "THEIR BODY SHOPS".
"is it fair that they will cease paying for the rental after 30 days?" THIS IS THE LEGAL ISSUE: CAN A NATURAL DISASTER EXCUSE THE PERFORMANCE OF CONTRACTURAL OBLIGATIONS TO PROVIDE A RENTAL UNTIL REPAIRS CAN BE MADE? HERE I WOULD AGREE WITH YOU THAT THE ELEMENT OF DELAY AT ALL SHOPS IS A RISK TO BE BORNE BY THE INSURER.
THE BASIS OF THE CONTRACT IS THAT THEY WILL PROVIDE A RENTAL FOR A REASONABLE TIME TO ALLOW FOR REPAIRS TO BE MADE. IF, THROUGH NO FAULT OF YOUR OWN, REPAIRS CANNOT BE DONE IN 30 DAYS, AND IF YOU ARE TAKING EVERY STEP TO GET REPAIRS DONE AS SOON AS POSSIBLE, THEN I THINK YOU DO HAVE CAUSE TO COMPLAIN BECAUSE IT SHOULD BE THEIR DUTY TO ASSUME THE RISK THAT THE RENTAL PERIOD COULD BE EXTENSIVE DUE TO NATURAL DISASTER.
THAT IS HOW I WOULD PHRASE THE COMPLAINT TO YOUR INSURANCE COMMISSIONER.
YES, THEY MAY HAVE A CLAUSE IN THE CONTRACT THAT EXCUSES THEIR PERFORMANCE IN THE EVENT OF NATURAL DISASTERS, BUT DO NOT BE BLOWN OFF COURSE IF THEY CITE IT. INSTEAD, CONTEND THAT SUCH A CLAUSE IS INVALID AS AGAINST PUBILC POLICY OF YOUR STATE.
DO YOUR COMPLAINING IN WRITING AND FAX THE LETTERS TO YOUR ADJUSTER OR BETTER, TO HIS SUPERVISOR. I THINK THAT IF YOU SEND THEM AN "ADVANCE COPY" (i.e. a copy of what you INTEND to send if they do not perform) OF YOUR COMPLAINT TO THE INSURANCE COMMISSONER, I THINK YOU WILL HAVE YOUR RENTAL PERIOD EXTENDED.
Best Wishes,
Dr. Settlement, J.D.
http://www.SettlementCentral.Com
