My brother was involved in an accident about a month ago where another car forced him off the road into a cement barrier. The other driver never stopped.
The insurance company had him take his car to a shop (they claim it is the only shop within 100 miles they will work with) for an estimate. The agent came out to inspect the vehicle and determined it had been involved in a prior accident, before my brother bought it. This accident was not reported on the Carfax report we got when we purchased the car. It was only found on one that the insurance company ordered through another company.
Due to this prior accident, the insurance company claims that the value of the car is significantly less than book value. They totaled out the vehicle. They are not paying him what he needs to pay off the remainder of his loan (a nearly $5500 difference) and are insisting that they must take ownership of the vehicle.
I have a couple of questions here:
Don't you find it fishy that they only have one body shop do the estimate? Should he insist on getting a second or maybe even third opinion?
Is there any legal action my brother can take in this event?
If the insurance company agreed to insure his car as-is, what makes them able to change the rules later on to fit their financial best interest?
Any other advise will be much appreciated.
Thank you for your time,
Nicholas
The insurance company had him take his car to a shop (they claim it is the only shop within 100 miles they will work with) for an estimate. The agent came out to inspect the vehicle and determined it had been involved in a prior accident, before my brother bought it. This accident was not reported on the Carfax report we got when we purchased the car. It was only found on one that the insurance company ordered through another company.
Due to this prior accident, the insurance company claims that the value of the car is significantly less than book value. They totaled out the vehicle. They are not paying him what he needs to pay off the remainder of his loan (a nearly $5500 difference) and are insisting that they must take ownership of the vehicle.
I have a couple of questions here:
Don't you find it fishy that they only have one body shop do the estimate? Should he insist on getting a second or maybe even third opinion?
Is there any legal action my brother can take in this event?
If the insurance company agreed to insure his car as-is, what makes them able to change the rules later on to fit their financial best interest?
Any other advise will be much appreciated.
Thank you for your time,
Nicholas