Insurance paying out even though I was innocent

Builderfromhell

This is a general query, not specific to any particular incident.

I will use an extreme example to highlight my query.
Driver is exiting his driveway. Looks left then right. sees car skidding towards him and has time to reverse out of way. Car skids away from him and demolishes car on opposite side of road.

Insurance companies decided both driver of crashed car and car exiting driveway are to blame. Lets say 50/50 to keep it simple.

Driver who was exiting driveway is adamant that he did nothing wrong and that other driver was speeding, driving at a speed which did not allow for braking in emergency, was on phone etc.
Insurance company has accepted fault and he will ultimaetly pay via higher insurance premiums.

Can he do anything to stop his insurance company paying out?

The above example is just to make a point. it could have been a lot of other situations

mickdw

Insurance is a strange business at times. Seems to be little you can do also.

Zubeneschamali

No.

OK, technically yes, but you'd have to be mad. You can tell the Insurance you will defend the case yourself, that they do not represent you.

But then they will not pay out if you lose, or cover any costs. This could bankrupt you fast.

Builderfromhell

Zubeneschamali wrote: »

No.

OK, technically yes, but you'd have to be mad. You can tell the Insurance you will defend the case yourself, that they do not represent you.

But then they will not pay out if you lose, or cover any costs. This could bankrupt you fast.

Interesting point.
But if you were confident that you could prove your innocence then it's nice to know you have that option.

Also, if the claim were fpor let's say a 1,000 euro. You may end up paying that if you loose the case or paying that via higher insurance premium anyway.

slimjimmc

Builderfromhell wrote: »

This is a general query, not specific to any particular incident.

I will use an extreme example to highlight my query.
Driver is exiting his driveway. Looks left then right. sees car skidding towards him and has time to reverse out of way. Car skids away from him and demolishes car on opposite side of road.

Insurance companies decided both driver of crashed car and car exiting driveway are to blame. Lets say 50/50 to keep it simple.

Driver who was exiting driveway is adamant that he did nothing wrong and that other driver was speeding, driving at a speed which did not allow for braking in emergency, was on phone etc.
Insurance company has accepted fault and he will ultimaetly pay via higher insurance premiums.

Can he do anything to stop his insurance company paying out?

The above example is just to make a point. it could have been a lot of other situations

Shouldn't he be looking to his right first then left, then right again?
Did he let the front of his car out onto the road before he noticed the car coming from his right, forcing the other car into an emergency braking?

Builderfromhell

The exact details of the above example are not so much relevant. Perhaps, in this instance he was in the wrong if he didn't look right first.
The point is, are there situations where an insurance company can award against you and then you end up with higher premiums eventhough you know you were innocent.

Builderfromhell

Builderfromhell wrote: »

.............. are there situations where an insurance company can award against you and then you end up with higher premiums eventhough you know you were innocent.

Of course.
In some cases that upon insurance investigation appear 50/50 you may be completely innocent, especially if the other party is economical with the truth and there are no independent witnesses etc.

MugMugs

The Insurer can do whatever they like if they feel it will save costs. Your friend can dispute the call through the ombudsman if they wish. Advise them to complain to the Insurer and request a final response. Then refer to the ombudsman.

PCPhoto

Zubeneschamali wrote: »

No.

OK, technically yes, but you'd have to be mad. You can tell the Insurance you will defend the case yourself, that they do not represent you.

But then they will not pay out if you lose, or cover any costs. This could bankrupt you fast.

there is usually a claus in the insurance contract that they can take over the claim if they feel you will be unable to cover all potential losses....been there and found that out the hard way - claim went in and I know its a false claim from talking to friends of the person online without revealing my identity and I passed the information to my insurance company who said they would investigate ... I queried this - they didn't investigate as they had doctors reports saying the injured party complained to them of back/muscle pain - the report also said the person went to the hospital and was discharged once seen by a doctor - no signs of injury on CT/X-Rays,patient unresponsive in the normal manner but complained of pain - refer to GP ...GP prescribed paracetemol !! .... insurance company still paid out.

I'm awaiting my insurance renewal before I tell them if they didn't investigate the claim properly they cant increase my premium - I asked for a PI (private investigator) ....and they said they would...but didn't.

Long and short of it is that the insurance companies will do whatever they can to pay out IF they have doctors reports - but we all know its not that difficult to goto a doctor and say you have pains in your back/side/leg etc ...or occasionally get head aches/dizzyness ... doctors can only report what the person tells them and cant properly determine if its genuine or not....one of the flaws in our great system.