Chance of a 2nd settlement offer if at-fault ins. co policy has a $10,000 limit?

Question

I was in a m4 car collision. At-faults insurance has a 10,000 property damage limit. Since there was 3 cars involved the settlement offer was split 58% between all 3 cars. Damage to my car was estimated to be about $5400, settlement offer was only $3200. What are the chances of rejecting and getting more for the cost of damge if he has a $10,000 limit. How should I speak to the adjuster to negotiate so I can get more money. If not possible to get more, can I accept the offer and sue the at-fault dude in small claims court still? What are the chances of me winning and how long will I receive the money from him. Probably sue for additionaly 2500. ALSO, my medical bills, not pain and suffering. When will I receive that from his insurance? They said I do not have PI or BI or whatever, hopefully you understand what I am talking about. So am I out of luck for my chiro treatment $$ or still possible? Not trying to win the lottery I just want to be back to normal before accident

Answer 1

His limits are his limits. The insurance company can not pay more than his policy limit of 10,000.

Since his limits are not enough to pay for all the damage to all the vehicles -- it sounds like it was settled on a Pro Rata share.

That means every driver gets a % of their damage paid.

Here's how pro rata works --

1. Add up the total damages to all vehicles.

2. Divide policy limit by the total damage.

3. This gives you a %.

4. Pay that % of damage to each driver.

Example:



Damage to car 1: 5000

Damage to car 2: 6000

Damage to car 3: 1000

Total damage: 12,000

Policy Limit: 10,000

10,000/12,000= 0.8333 = 83.33%

Car 1 - 83.33% of 5000 = 4166.50

Car 2-  83.33% of 6000=4999.80

Car 3- 83& of 1000 = 833.30

Total paid: 9999.60

In this case, the % were 40 cents short - so the adjuster would just divide that between the 3 cars so that the total of all payments equals 10,000 limit.

As you can see, this is a fair way to compensate each driver.

There is really no room for negotiation. The size of the pie won't change. If you get a bigger piece, it means someone else will get a smaller piece. Maybe you don't care about that (as long as you are the one getting the big piece) but the adjuster will still have to deal with the person who got the small piece and try to explain why you should get a bigger piece of the pie. Since the adjuster can't really do that.....there is no room for negotiation.

You should call your company. See if you have Under-Insured Motorist Coverage. If you do, just settle with your company under you UIM coverage for all your damage. They will collect the money from the other insurance company.

This way, the only thing you are out is your UIM deductible. This usually ranges from 100-200.

If the other driver only has 10,000 property damage liability coverage --- that means he's probably has very low bi limits. That means he may not have enough limits to pay for your (and all the other car's injuries).

So don't get treatment happy . Don't go running up a bunch of medical treatment you don't need thinking your going to get a big pay day. Could turn out the jokes on you....when his limits run out and you end up in the same situation you are in now.

Answer 2

Like it or not, I suggest an attorney.  Not only will he/she approach the other insurance company with the correct 'lingo", he can go to your own insurance company for a UIM (underinsured motorist) for your medical, pain & suffering & loss of wages.........I'm hoping you have insurance!