why don’t they teach this in schools? need help understanding insurance claims for no fault claims

[ozthink]

Hi y’all. so recently got rear-ended and the other person was found liable. Now their insurance (the general) says they don’t have enough money to pay for the damages and the rental. that they have a max of $10k and it sucks because it turns out I don’t have rental insurance nor uninsured motorist coverage. They say I have to return the rental (i’ve had it for four days)

Why don’t they chase the person who was at fault for the money? why do they charge me & my insurance?

I don’t want to return the rental and let the general get the rental bill anyway. Because when I signed the contract for the rental it was to bill the insurance directly. don’t know if that’s smart though.

My insurance (progressive) said they’d take care of the damages… and that they’ll contact the general for my deductible (whatever that means)

also, even though i’m not at fault, progressive said they can’t “tell” if my rate will go up or not. Do rates usually go up for no fault claims?

Thank you so so much for helping me get it. I wish they taught this stuff in schools.

 

[raphacam]

@ozthink Rates generally don't go up for filing not at fault claim as much as an at fault claim or don't go up at all and in fact some states forbid rate increases for filing not at fault claims. Since The General has already accepted liability, your insurance will get your deductible back for you but they can't get any more for full then than the 10k their insured bought. That's all that's available. But your insurance is covering your damages in full and you're getting your deductible back so you should be happy.

 

[ozthink]

@raphacam gotcha! thank you !! I was just confused I really don’t know what to do about the rental. enterprise has it to bill the insurance

 

[jayisscott]

@ozthink Enterprise will make you pay. Don’t chance it. When someone has low limits for liability coverage, it’s a hard stop on what that insurance company will pay out. You did not find a loophole here. You will lose this argument.

 

[vitagenlab]

@ozthink Return the rental. The general will pay for the days they authorized.

When progressive sends them the bill, the general will pay 10K minus what they paid in rental for you. Progressive will eat that cost and still return your deductible.

If you realllllly need a rental, ask progressive to set a reservation with enterprise for you, they should be able to get you into a car that costs you less than 30 a day. That certainly adds up quickly so understandable if you can’t swing it.

Definitely add rental to your policy. You now know you cannot rely on anybody else but yourself. It’s a common belief the at fault party should pay for everything so not knocking you - reality is unfortunately different.

Yes they really really really need to rethink what senior year of high school looks like. Basic life stuff - insurance, taxes, budgeting and investing would be more valuable than AP calculus for basically everybody.

 

[ozthink]

@vitagenlab thank you so much! when I spoke to the guy from the general he said they had set up the rental for 16 days. and then I’m like well i’ve only had it for two days… he then took a pause and said well eventually it’ll add up to too much for us .. so I was thinking it to take it back at the 16 day mark