Am I liable to replace a tree I hit with my car?

Question

So I got into a car accident (fell asleep at the wheel) and totaled my car and ran into a tree on someone else's property. I'm okay, but now I've got a whole mess to deal with the insurance. The tree was still standing, but titled so that it would become a danger if it fell.

Here are some more details:

The tree owner has already paid for having the tree pulled out,

repairing the fence, and replacing the mailbox. These total: $1,432.20.

Now the tree owner wants to replace the tree. Their estimate is $14,000 installed.

This would place total damages at $15,432.20.

My insurance coverage is only 10,000, and that means I would have to pay the difference, which I totally cannot afford being the poor college student that I am.

Am I legally liable to replace that tree?

Answer 1

Yes you are legally liable for the balance.  However, your insurance company should not just accept the estimate from the homeowner.  They will either ask for several estimates, or have the estimate reviewed by an expert arborist to make sure the amount is accurate.   If the tree did not have to be replaced, rather replanted/or fixed(although I do not think that is possible if the root system was damaged), they will argue this on your behalf.

You may want to consider increasing your liability limits.  Imagine if you totaled a brand new Jaguar.  You would really be in it deep.

Answer 2

Yes, you are liable, you damaged the tree.  The tree owner has the right to be put back to the way he was before the accident, with a mature tree.  Can your insurance company negotiate on the price?  Is it possible for him to get a younger, smaller tree?  If that doesn't work, you'll likely have to set up a payment plan.

Now, RAISE your limits.  Many accidents now are over $10,000 property damage, it doesn't take much especially since most new cars cost between $20,000-$30,000.

Also raise you bodily injury!!  You probably have the minimum there too.  It is MUCH cheaper to have high limits than to try to pay for damages above your limits out of pocket.

Remember, you are in college so you have a pretty good earning potential after you graduate & insurance companies are very likely to put judgements & liens against you to pay for damages you caused.  If you do, you will never get a loan to buy that new car, you will never own a home, never have a bank account until the debt is paid.  Your wages can be garnished too.

Answer 3

Yep--you are responsible, no matter what limit your insurance coverage is.  I would suggest direct negotiation with the property owner--throw yourself on his mercy as a poor college student.  He may relent and forgive the obligation.  If he doesn't, invite him to sue for it, as you have no assets to attach and no income to pay.  It happens.