QuestionQUESTION: I was rear ended by an unlicensed (possibly illegal alien) driving a car that was not his. The owner of the vehicle had the vehicle insured with Progressive Insurance. According to Progressive, the person driving the vehicle supposedly was excluded from the policy, however Progressive's own web site states "In most states, the car insurance policy covering the vehicle is considered the primary insurance, which means that the insurance company for the vehicle must pay for damages caused by an accident." Even if the owner was in violation of his insurance policy, shouldn't that be a matter to be worked out between the owner & Progressive? Why should I have to suffer because of his deception? I feel like I should be able to receive payment from Progressive for my damages. Can I sue Progressive for the damages? Because the driver is a possible illegal alien and works for cash, if I sue him like in small claims court, there is nothing I can do to get my money. Also, despite this person not having a drivers license & supposedly no insurance, the worthless police department in Sherman Texas where I live & where the accident took place, wouldn't even come out to the accident and furthermore say that there is nothing they can do about it. Any suggestions? Thank You
ANSWER: First of all, you must understand that you are dealing with the worst insurance company on the face of the earth. You are a third party claimant. As such, Progressive owes you nothing, but since the car was insured and the driver had permissive use of it (as opposed to it being stolen), then coverage follows the vehicle. So you must apply pressure to the policyholder of the car that hit yours, for it is they who owe you for your loss. Progressive is contractually liable to their insured for any losses caused by their car, so indirectly Progressive owes for the cost of repair.
I would start by sending the policyholder of the car that hit yours a letter by certified mail with a return receipt. This letter is a demand for payment for the cost of the repairs to your car. Send a copy of the letter to Progressive and mark the letter as a cc to them at the end of the letter. In your letter be sure to say you will take the necessary legal action against them in order to recover your loss, which should include repair costs, replacement transportation, and any loss of value your car sustained as a result of the damage.
You need to be prepared for a fight from Progressive, but as long as you are determined to the point of taking the case to small claims court, the law is on your side. Demand all communications from Progressive in writing only, as they are likely to lie to you on the phone. In fact, Progressive actually encourages their employees to "take risks" in the course of their jobs, which is to protect the company and its reserves. Go to your state's insurance department's web site for more information on your rights as a thrid party claimant (as opposed to a first party insured).
I am not a lawyer and cannot give legal advice. However, I can freely share information that has helped my customers in the past recover their losses in these matters.
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QUESTION: Thank you so much for taking the time to help me & others like me. I have another quick question or 2 that maybe you can help me with: Progressive's main office is in Ohio & I am in Texas. There are many Progressive "Claim" offices in Texas (The closest being about 50 or 60 miles away from me). The Claims Rep I have been working with on the phone is about 100 miles away. Should I send this CC to the claims Rep I have been working with or should I reach for someone higher up? If someone higher up, how can I determine who it is I should be sending this to? I want to send this copy to the person it will have the most impact on and where I can get the best results. I did already tell the claims Rep, when she told me that they were denying the claim, that I would be contacting an attorney & would be trying to file a lawsuit against Progressive, but it didn't really seem to matter to her. My damages were only $1800, but I would think it would cost them a lot more to send an attorney to fight this case than it would to just pay the claim, which leads to my final question: If I do file a case against Progressive, in the County where I am, can they do a change of venue & force me to have to drive many miles to go to court in some other County? The owner of the vehicle that hit me lives in my County, but Progressive is in another County & or State & like I say, they don't have any offices anywhere near me. Thank You again
AnswerFile your suit in the jurisdiction where the defendant lives or the loss occurred (in this case, the owner of the car and policyholder). As I said before, you don't sue Progressive, as they owe you nothing. That is where the hearing will be.
Send the copy of your demand letter to the local claims person you have been dealing with. It will receive the attention it warrants.
